Why is a partnership characterized as preparatory contract?

A partnership is characterized as a preparatory contract because it establishes the foundational agreement between parties who intend to collaborate in a business venture. This contract outlines the terms of cooperation, including roles, responsibilities, and profit-sharing, serving as a blueprint for the partnership's operational framework. It is preparatory in the sense that it sets the stage for future business activities and potential formalization into a more structured entity. Ultimately, it lays the groundwork for a joint effort toward achieving shared goals.