A partnership is an association of two or more individuals or entities as partners, most commonly with a view towards profit or a mutually beneficial outcome.
This is the most common form of partnership in which each partner shares profits, risks, costs, responsibilities and liabilities.
A limited partnership is similar to a general partnership, however whereas a general partnership has two general partners, a limited partnership has at least one general partner and least one limited partner.
The general partner is responsible for the management of the limited partnership and has unlimited liability. Limited partners are not personally liable and their liability is limited to the amount they have contributed to the partnership.
Limited Liability Partnership (LLP)
A limited liability partnership is also similar to a general partnership, but individual partners have protection against personal liability for certain partnership liabilities. For example one partner is not responsible or liable for another partner’s misconduct or negligence. Partners are liable to the extent of the assets they put into the limited liability partnership, their capital contribution and undrawn profits.
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