Limited Partnership

Definition:

A business organization where the individual partners have varying degrees of input and control over decisions, profit-sharing, and risk, usually related to the amount of money each partner has invested.

Examples:

Unlike a general partnership, a limited partnership may be a good idea for people who have a restricted cash flow, but who still want to participate in a business venture.

After having been in a limited partnership agreement for ten years, Charles was finally able to buy in as a general partner in the firm.