Management
Partnerships: Will the Sum Be Greater?
Why would two individuals want to form a partnership agreement? They may believe the partnership will result in synergy, meaning their combined efforts will be more profitable (after expenses and taxes) than the efforts of either one working separately. However, future business managers must carefully evaluate this likelihood when deciding whether to enter into a partnership agreement. Synergy is merely an ideal of partnership agreements, not a guaranteed outcome.

Source: Angelo Kinicki and Brian K. Williams, Management: A Practical Introduction (New York: McGraw-Hill/Irwin, 2006), p. 189.