A limited partnership is a business model that can connect bold, enterprising entrepreneurs with savvy investors looking to finance lucrative, low-touch business ventures. If you fit either of those bills, thoroughly understanding the concept is in your best interest.

Here, we’ll explore the model further, differentiate it from similar business arrangements, review its pros and cons, and go over some prominent examples of what it looks like in practice. Let’s dive in.

Limited partnerships (LPs) have a place in a variety of industries — particularly ones that involve time-bound projects. Investors are often drawn to their “lower stakes”

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