MANAGEMENT

Detailed explanation-1: -A limited liability company (LLC) is a corporate structure that protects its investors from personal responsibility for its debts or liabilities. A limited partnership is when two or more partners go into business together, with the limited partners only liable up to the amount of their investment.

Detailed explanation-2: -In general partnerships, every partner remains personally liable for the debts and obligations of the partnership. The LP separates at least one general partner with unlimited personal liability from limited partners whose liability typically will not exceed their contribution to the partnership.

Detailed explanation-3: -In certain circumstances, company directors may be personally liable for the company’s debts and regulatory action can be taken against them.

Detailed explanation-4: -Because partners in a general partnership are personally responsible for all debts and obligations of the business, they are also liable for each other’s actions.