What is the significance of the existence of a partnership agreement for outsiders dealing with the partnership?

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What is the significance of the existence of a partnership agreement for outsiders dealing with the partnership? What is the advantage of entering into a formal agreement?
Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...
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Business Law in Canada

ISBN: 978-0133249095

10th Canadian Edition

Authors: Richard A. Yates, Teresa Bereznicki Korol, Trevor Clarke

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