limited partnership: meaning, definition, pronunciation and examples

In most jurisdictions, it is a legal entity distinct from its partners, but for tax purposes (in the US and UK), it is often 'tax-transparent,' meaning profits and losses pass through to the partners.

A general partner manages the business and has unlimited personal liability for its debts. A limited partner contributes capital but does not participate in management, and their liability is limited to their investment.

Yes, it must have at least one general partner with unlimited liability, but it can have just one. It must also have at least one limited partner.

No. In an LLP, ALL partners typically have limited liability and can usually participate in management. In an LP, the general partners have unlimited liability, while limited partners do not manage.

A business structure in which one or more general partners manage the business and are personally liable for debts, while one or more limited partners contribute capital and share profits but have limited liability.

Limited partnership is usually formal, legal, business in register.

Limited partnership: in British English it is pronounced /ˌlɪmɪtɪd ˈpɑːtnəʃɪp/, and in American English it is pronounced /ˌlɪmɪt̬ɪd ˈpɑːrtnərʃɪp/. Tap the audio buttons above to hear it.