Which characteristic is true of a general partnership?

A general partnership can indeed be formed easily through an oral agreement, which is one of its defining characteristics. This simplicity allows two or more individuals to come together and start a business without the need for extensive formalities or legal structures, unlike corporations or limited liability companies, which often require detailed articles of incorporation or operating agreements.

In a general partnership, the partners share in the management and profits of the business. While written agreements are advisable for clarity and to outline the terms of the partnership, they are not a legal requirement for the formation of the partnership itself. This ease of formation is appealing to many who wish to enter into business collaboratively, as it fosters flexibility and quick initiation of business activities.

In contrast, the other options suggest requirements or characteristics that do not align with the nature of general partnerships. For example, limited liability is not a feature of general partnerships; partners usually have unlimited personal liability for the debts and obligations of the partnership. Additionally, a complex legal structure is not necessary for a general partnership; its streamlined nature is one of its advantages. Profit distribution isn't guaranteed to be equal unless specifically agreed upon by the partners, so profits can be divided in any manner the partners decide. Thus, the correct answer reflects the fundamental principle of general partnerships