Locksmith and Key Service Partnership Agreement

What a good one includes

• A detailed inventory list specifying who owns which key-cutting machines, programmers, lock pick sets, and physical stock, and how shared tools are depreciated or replaced.
• Clear rules on whether service vans can be used for personal trips, who pays for fuel, and how routine maintenance or emergency repairs are financed.
• A fair rotation schedule for the 24/7 emergency dispatch line, detailing how late-night call-out duties are assigned and managed.
• A precise breakdown of how standard service call revenue, emergency lockout fees, and key duplication profits are split between partners.
• Specific clauses detailing who carries the general liability insurance, how bonding requirements are met, and who is responsible if a vehicle or property is damaged during a job.
• A clear buyout or dissolution process outlining how inventory, client databases, and vehicles are divided if one partner decides to leave the trade.

Common mistakes to avoid

• Failing to document who owns the expensive key programmers and machinery brought into the partnership, which leads to messy disputes if you split up.
• Forgetting to write down how 24/7 emergency dispatch hours and holiday shifts are shared, resulting in one partner carrying all the physical exhaustion.
• Neglecting to establish clear guidelines for vehicle wear-and-tear and personal use of the company's mobile locksmith vans.
• Leaving out a specific plan for how emergency call-out bonuses or cash tips are tracked and split.

Frequently asked questions