Limited Partnership
Accounting glossary · Understand, connect, apply
A limited partnership is a business arrangement with at least one general partner and at least one limited partner.
Example
A general partner manages a property venture while limited partners provide investment capital.
Remember the difference
A general partner generally has broader liability than a limited partner. This structure differs from an LLP and an LLC.
Updated 3 November 2026. Examples are simplified for learning. Where a term depends on US law, IFRS, US GAAP or a historical rule, check the context explained above and the requirements relevant to your course.
Study references: OpenStax financial accounting and managerial accounting. For reporting requirements, consult the applicable IFRS Standards or FASB guidance. US tax terms should be checked against the relevant tax-year IRS instructions.
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