{"id":4889,"date":"2016-04-04T10:47:49","date_gmt":"2016-04-04T15:47:49","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/smallbusiness\/incorporation-and-legal-structures\/the-small-business-partnership-general-and-limited-partnerships.html"},"modified":"2025-10-22T00:08:00","modified_gmt":"2025-10-22T05:08:00","slug":"the-small-business-partnership-general-and-limited-partnerships","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/smallbusiness\/incorporation-and-legal-structures\/the-small-business-partnership-general-and-limited-partnerships.html","title":{"rendered":"The Small Business Partnership: General and Limited Partnerships"},"content":{"rendered":"\n
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The Small Business Partnership: General and Limited Partnerships<\/h1>\n\n
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\n By FindLaw Staff<\/a> | Legally reviewed by Catherine Hodder, Esq.<\/a>\n | Last updated\n
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Editorial Note: We earn a commission from affiliate partner links on FindLaw. Commissions do not affect the editorial integrity of our legal content.<\/p>\n\n <\/div>\n \n

\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n\n\n

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When two or more individuals come together to operate a business, that is considered a partnership. However, there are several types, such as general partnerships<\/span> (GPs), limited partnerships (LPs), and limited liability partnerships<\/span> (LLPs<\/span>), which primarily differ in terms of management roles and personal <\/span>liability<\/span> protection<\/span>.<\/p>\n\n <\/div>\n\n\n\n

Starting a small business<\/span> is an exciting venture for entrepreneurs. One big decision to make is the type of <\/span>business<\/span> structure<\/span> to choose. While some may choose a sole proprietorship<\/span>, others may find partnerships appealing. In a business partnership<\/span>, business owners<\/span> come together to share responsibilities, risks, and benefits.<\/p>\n

There are several different types of partnerships<\/span> with various advantages and disadvantages. The business structure<\/span> you choose will depend on your business preferences and your need for liability protection<\/span>. This article provides an overview of business partnerships<\/span> in America.<\/p>\n

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Partnerships: A General Overview<\/h2>\n

A partnership is a business entity<\/span> where two or more people own the business together. In many ways, it\u2019s like a sole proprietorship<\/span>, except with multiple business owners<\/span> involved. There are\u00a0several types of <\/span>partnership<\/span> structures<\/span><\/a>\u00a0that entrepreneurs can consider for their startup<\/span>:<\/p>\n