Which of the following roles best fits the situation?

Kevin wants to create a business but is not sure what role is best for him. He has capital to invest. He has several partners with which he can begin a business. He has the most management experience of all his potential partners.

A. Limited partner in a limited partnership.

B. Neither a limited or general partner would be a good choice.

C. General partner in a limited partnership.

Question

Business

Jovanni

3 March, 11:16

Which of the following roles best fits the situation?

Kevin wants to create a business but is not sure what role is best for him. He has capital to invest. He has several partners with which he can begin a business. He has the most management experience of all his potential partners.

A. Limited partner in a limited partnership.

B. Neither a limited or general partner would be a good choice.

C. General partner in a limited partnership.

+4

Answers (1)

Know the Answer?

Kamron Osborn · Answer 1

The correct answer to the following question will be Option C.

Explanation:

Limited Partnership seems to be a form of cooperation where partner responsibility becomes restricted to the degree to which they should have invested their money. It is a companion contributing even just a capital, i. e. only financial stake.

General Partner seems to be the associate who continues to operate the alliance company and seems to be responsible for the company's activities. According to the above scenario, Kelvin has an investment to open a company as well as a few partner organizations to do so. As some other collaborators have the financial commitment, a public benefit relationship should be established. He seems to have professional experience, though in this configuration he should choose to become a limited partner or shareholder.

So that the above is the right answer.