In some types of partnerships, partners are divided into two classes. These include general partners and limited partners.
General partners generally run the partnership and are personally liable for many of the business's debts. Limited partners, on the other hand, are typically not personally liable for the business's debts.
However, limited partners typically cannot actively participate in the business. This means that limited partners cannot make decisions that affect the everyday operation of the business.
If you have legal questions about your limited partnership, contact Your Iowa business formation lawyers of LaMarca Law Group, P.C., at (515) 705-0233.