In a partnership situation whereby a party agrees to only provide capital to the partnership. In exchange, the partner is legally limited in cases of losses to the amount of capital invested. Limited partners have no say in the day-to-day operations or management issues.
Have you ever wondered how apartment or office complexes are financed? A typical complex will have 80 to 100 units and the cost of construction will approximate $7,000,000. So where does this money come from? […]