Operation Agreement
An operation agreement is like a set of rules that people come up with when they work on a big project or business together. It's like when you play a game with your friends, you make rules so that everyone knows what they're supposed to do.
The operation agreement helps the people who are working together to understand how their business or project is going to be run. It tells them things like who's in charge, how decisions will be made, how money will be spent, and what happens if someone wants to leave.
Think of it like building a treehouse with your friends. You need to decide who's bringing the tools and supplies, who's going to climb the tree, and what you're going to do if someone gets scared and wants to climb down. The operation agreement is like your plan for building the treehouse, so everyone knows what to expect and how to work together.
And just like you might change the rules of your game if you think of something better, people can change their operation agreement if they need to. They might decide they want to add a new partner, or change how much money each person gets. But they have to talk about it and agree on it together, just like you and your friends when you decide to change the rules of your game.
The operation agreement helps the people who are working together to understand how their business or project is going to be run. It tells them things like who's in charge, how decisions will be made, how money will be spent, and what happens if someone wants to leave.
Think of it like building a treehouse with your friends. You need to decide who's bringing the tools and supplies, who's going to climb the tree, and what you're going to do if someone gets scared and wants to climb down. The operation agreement is like your plan for building the treehouse, so everyone knows what to expect and how to work together.
And just like you might change the rules of your game if you think of something better, people can change their operation agreement if they need to. They might decide they want to add a new partner, or change how much money each person gets. But they have to talk about it and agree on it together, just like you and your friends when you decide to change the rules of your game.