Subscription Agreement

Subscription Agreement

An application by an investor to join a limited partnership. In most cases, the investor will have to fill out a form created by the general partner evaluating the investor's suitability for the investment in the partnership.

Notes:

All limited partners must be approved by the general partner. Becoming a limited partner rather than a partner is an attractive option since it means the investor's liability is limited to the amount he or she has invested in the partnership.

See also: General Partner, Limited Partnership, Partnership, Silent Partner

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Subscription agreement

An application reviewed by the general partner to join a limited partnership.