When forming a company in Texas, there are many options from which professionals can choose. While general partnerships are a common choice for many, a limited partnership may actually be more appropriate and beneficial for your business. While these types of partnerships place more responsibility on certain partners, it does allow for others to enjoy certain protections when they do not want full responsibility.
Making the decision to form a limited partnership and then taking the appropriate steps to do so can be difficult. However, with the support and guidance of an experienced Texas limited partnership lawyer at Slater Pugh, Ltd. LLP, you can rest assured that you understand all the nuances of such a business entity and that the decisions you ultimately make are the ones that are best for your company and professional goals. Call us to have your questions answered, concerns addressed, and to receive the detailed guidance you need when forming a limited partnership.
Understanding A Limited Partnership
Limited partnerships function in largely the same way as a general partnership, with a major exception — there are both general partners and limited partners. Law requires there to be at least one general partner so that there is a party who claims liability for any losses, profits, and actions of the partnership.
This mix of general and limited partners provides a unique management and liability structure for the partnership. General partners, while considered completely liable for any debts, losses, profits, and actions of the company, have the ability to make decisions and manage the business. On the other hand, limited partners are only considered to be liable for losses related to their investment in the business and have no management authority. They do, however, escape liability for a number of debts and losses, which is an advantage for many considering such a partnership.
At Slater Pugh, Ltd. LLP, we know that no two businesses are exactly the same, and therefore, the business entity you form should reflect the unique needs and goals of your company. As such, our team of Austin limited partnership attorneys works diligently to ensure you understand the many demands of a limited partnership, its benefits and drawbacks, and what steps you need to take to make your business as successful as possible. Call or write to us to gain a better understanding of what it means to form such a business and to discuss your business aspirations with us.