limited partners

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Related to limited partners: general partnership

Limited Partner

In a company, one who shares with at least one other partner, jointly and severally, a business' ownership. Limited partners exist in limited partnerships and limited liability partnerships, but in both situations they are only liable for the capital they have invested in case of bankruptcy. In limited partnerships, the limited partners have no management authority and confine their participation to their capital investment. In limited liability partnerships, all partners are limited and therefore at least some have management authority. Profits are divided among limited partners according to an arrangement formed at the creation of the partnership.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

limited partners

Persons who invest in a limited partnership upon the condition that their maximum exposure to liability,if the venture is unsuccessful,is the loss of their investment.Contrast with general partner.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
References in periodicals archive ?
ILPA represents the interests of limited partners in private capital funds across the globe.
With more than 850 Limited Partner, General Partner, and Asset Servicer clients in 48 countries, eFront services clients worldwide across all major alternative asset classes.
Sixty-four percent of limited partners said they planned to raise their allocation to private equity, up from 26% five years ago.
In the past 11 years LPE has completed transactions involving more than USD 50m in over 300 different partnerships, helping thousands of limited partners to simplify their finances and escape ongoing tax liabilities.
Finally, if distributions to limited partners can be made only at the discretion of the general partner (with no minimum distribution requirement), the value of the limited partners' interests will be reduced accordingly.
* If the partner is a "limited partner," SE tax applies only to guaranteed payments for services rendered to the partnership [IRC section 1402(a)(13)].
The IRS issued proposed regulations (REG-109369-10) that would redefine "interest in a limited partnership as a limited partner" for purposes of determining material participation under the Sec.
In addition, the 4G agreement also gives the company the right to require Cellco Partnership, one of the O-P's limited partners, to purchase all of its ownership interest in the O-P during April 2013 or 2014 for an amount equal to the greater of USD50m or the product of five times 0.081081 times the O-P's EBITDA for the calendar year preceding the exercise of the right.
Back in the U.S., with deal competition intense, buyout houses are striving to distinguish themselves from the competition as they woo limited partners, court prospective companies and build a track record in niche industries.
Limited partners in a partnership are upset because the general partner won't make a Sec.
In many cases, there is a single general partner and a substantial number of limited partners.

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