Limited Partnerships

A limited partnership is a business structure with two types of partners: general partners and limited partners. General partners manage the business and are personally responsible for its debts. Limited partners contribute capital and share in profits but do not take part in day-to-day management; their risk is limited to their investment amount. This setup allows investors to fund a venture without involvement in daily operations, while the general partners handle management. Limited partnerships are commonly used in real estate and investment projects to combine expertise with capital while limiting individual liability.