What is the association of two or more people to carry on business for profit called?

The term that describes the association of two or more individuals to conduct business for profit is known as a partnership. In a partnership, each member contributes to the business in various ways, such as capital, skills, or labor, and they share in the profits and losses according to an agreed-upon ratio or terms.

This structure is characterized by mutual cooperation and the intention of earning profit together. Partnerships can take many forms, including general partnerships, where all partners manage the business and are personally liable, or limited partnerships, which include both general partners and limited partners who are only liable up to their investment.

Understanding a partnership is crucial, particularly for those entering the business world, as it offers an informal structure compared to corporations while still providing a legal basis for business operations. This allows individuals to leverage each other's strengths and resources.