Explanation:

Registration of a partnership firm is neither compulsory nor the Act makes any penalty for non registration. However certain disabilities are provided in Section 69 of the Act for unregistered firms and their partners. The procedure for registration is simple and the disadvantages of non registration are so great that generally the partners. are generally inclined to register it Sections 58 and 59 of the Indian Partnership Act deal with the registration of a partnership firm. It may be effected by submitting to the Registrar of Firms, a statement in the prescribed form and accompanied by the prescribed fee. The fee shall not exceed the maximum fee specified in schedule -i The Registrar of firms is appointed by the state government and the government defines the areas within which the Registrar shall exercise their powers and perform their duties.