2.2 - Limited Partnership Flashcards
1
Q
How common is a limited partnership?
A
Not common
2
Q
What are most of the partners like in a limited partnership?
A
Sleeping partners - invested into business but won’t be day-to-day decision makers
3
Q
Limited partnership allows for one or more of the partners to have limited liability, but…
A
It requires in law that one of them (a general, active partner) has completely unlimited liability
4
Q
Where would you usually find a limited partnership?
A
Private equity firms - investment funds (typically large wealthy individuals who are involved in this)
