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in Business Studies by (64.6k points)

Mention any four demerits of partnerships firms.

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1. Since the number of partners is limited, the capital contribution is also limited. 

2. Liability is limited, so it discourages many people to join as partners. 

3. Reckless and foolish decisions of some partners may lead to heavy setbacks. 

4. It is difficult to transfer the share of partners to others.

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