What is the difference between a limited partnership and a limited liability partnership?

In a limited partnership, partners cannot lose the money they have invested.

In a limited liability partnership, all partners are protected from liability in some situations.

In a limited liability partnership, only one partner manages the business.

In a limited partnership, every partner is responsible for the company's actions.

Question

Social Studies

Hailee Landry

Today, 20:09

What is the difference between a limited partnership and a limited liability partnership?

In a limited partnership, partners cannot lose the money they have invested.

In a limited liability partnership, all partners are protected from liability in some situations.

In a limited liability partnership, only one partner manages the business.

In a limited partnership, every partner is responsible for the company's actions.

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Answers (1)

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Josephine Grant · Answer 1

The answer is: in a limited liability partnerships, all partners are limited from liability in situations

Which means that in case the company under a limited liability partnerships went bankrupt and still have a lot of debts after liquidation, the personal wealth of the partners are not subjected to the debt's payment.