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I would suggest you talk to your accountant first, a limited company may be a better route for you.
I can't argue with that extremely good advice. A partnership has a very flimsy structure, unless you have a tight agreement, and one of the biggest disavantages is joint and several liability, meaning you can be lumbered with all the business debts and not just your share of them. Depending on the combined profit level of the business, a company may be better but the current owner should make sure he doesn't just give away what he has worked hard to build up over the last 5 years. Does this employee have funds to buy himself in?
Another alternative is a limited liability partnership, although I don't like them personally. This gives protection against debts but you are taxed in exactly the same way as a sole trader or partnership.
Much will depend on the levels of profit, the amount of those profits you wish to take out of the business, or whether you will be reinvesting back into the growth of the business, and finally how much the business is currently worth. All in all, this needs a long conversation with your own accountant. There should be a very compelling reason indeed for anyone to sacrifice complete control and ownership of their own business.
A buy-in valuation figure should be agreed and I would also recommend an agreement relating to a structured set of targets for the business over 5 years with an increase in his ownership of the company year on year should the targets all be met and a buyout agreement option for your or his share should everything go horribly wrong.