Full Drawings from partnership ???

No problem.. he can withdrew it.... as it wont affect the firm.. presentation will be like:

Capital

+ profit

- drawings...( can be any amount... )

Thanks Man !!!

Yes, I know about this, but i was considering some other effect though not accounting.

I was thinking about the person's chances of getting Loan from a bank ?

Considering his  Low Capital in the Firm?

Does this affect his credit worthiness ???

HMmm.... IT wont be directly...... As if you want to grab a loan than you can show capital account of last 3 years... also forecast of profit of the frm for next 3 years.... thats the simpleway.....

Hi Pratik,

Drawings from Partnership Firm will not affect the net worth of the partner unless he has parted with the money that he has drawn from the firm. The same will appear in his Bank a/c or in form of any other investment in personal name.