Investment capital
Capital contribution is subject to partnership agreement
Number of owners
At least 2 partners
At least one general partner and one limited partner
Accounts
Must prepare annual accounts
Keep business and transaction documents for 5 years
Report
Not applicable
Tax
Business profits taxed at partners’ personal income tax rates (if individual)/corporate tax rate (if corporation)
Annual general meeting
Not applicable
Secretary
Not applicable
Advantages
Ease of set up
Low regulatory maintenance cost
Limited partner has limited liability
Limited partner not personally liable for liabilities of LP beyond amount of his agreed contribution
Disadvantages
General partner have unlimited liability
General partner can be sued personally for liabilities of the business, including those debts and losses incurred by other partners
Closure methods
Only general partner may file cessation
Registrar can cancel registration if not renewed
Registrar can cancel registration if LP is defunct
Download the Comparison Table below
[wpdm_package id=’4992′]
