Limited liability partnership
In accounting, limited liability partnership means a partnership that gives limited liability to every partner, not only the limited ones. Formed under state law, which sets who may use it.
Also called LLP.
Authority: SBA — Choose a business structure (opens in a new tab). Sources
The lesson that teaches this
From the free founder back-office course, taught on one company's books, with exercises to work it yourself.
For founders
The same idea written for a founder: what it costs a startup that ignores it, and what to do in a real month.
What it is not called
Each of these means something else. Use one here and an accountant reading the product notices.
- LP (where one partner stays fully liable)
Components that render the terms it depends on
No component names this concept outright, but it's built from terms that components do name. These render liability.
Also in Entity types
Defined in Lexicon. This page is generated from that document, so the two can't disagree.