What is a common characteristic of a partnership?

A partnership is fundamentally characterized by the collaboration of two or more individuals who come together to combine their skills, resources, and labor with the aim of generating profit. This structure allows partners to pool their capital, which enhances their ability to start and manage a business effectively. The synergy created through diverse skills and experiences often leads to more innovative solutions and improved decision-making.

This collaborative approach is integral to the essence of a partnership, distinguishing it from sole proprietorships where ownership is concentrated in a single individual. In partnerships, responsibilities and profits are typically shared, fostering a sense of teamwork and collective investment in the success of the venture.

While a partnership can certainly employ workers, it is not exclusively defined by hiring practices, nor is it typically designed as a non-profit entity. Non-profit organizations have a different set of purposes and structures, often focusing on social causes rather than profit generation, which is the main goal of a partnership. Therefore, option B accurately captures the key characteristic that defines a partnership in the business context.