IV. Dale and two friends decide to supplement their incomes during college by buying two snow blowers and several shovels, which they use to clear snow for businesses and homeowners. The season ends profitably and they divide their earnings three ways. They decide to call themselves the "Three Grunts," and post ads using that business name. The three friends continue their winter enterprise for four years, always sharing the costs and profits equally, but never with any written agreements. After leaving college, Dale's two friends moved on to other careers. Dale, however, decides to stay committed to the "Three Grunts" business. He gains the concurrence of his two friends and properly forms a new business called "Three Grunts Limited Partnership." The friends agree to a limited partnership agreement which provides that all of the original Three Grunts business assets will be owned by the new limited partnership. In exchange, Dale's two friends will each hold a 10% limited partner interest. The agreement also provides that Dale may add additional limited partners, using a portion of his 80% general partner interest as consideration for the new limited partner investments. A year later, Dale invites Carl Grunt, an experienced snow plow driver, to join as a 5% limited partner. Carl is employed as General Manager for the business enterprise, with responsibility to hire and manage the contract labor.