Limited partners can take a management role and remain limited partners.

Question

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Limited partners are typically not actively involved in the management of the partnership and are not liable for the partnership's debts beyond their initial investment. If a limited partner takes on a management role, they risk losing their limited liability status and becoming personally liable for the partnership's debts and obligations. In order to maintain their limited liability status while taking on a management role, the limited partner would need to negotiate a specific agreement with the general partner(s) outlining their responsibilities and limitations.

Limited Partners Can Take a Management Role and Remain Limited