At the Cordoba Law Firm, PLLC, our Brazoria County business formation attorneys located in Lake Jackson provide the trusted guidance and professional legal representation you need when creating a limited partnership.
When operating a business, one of the most important decisions you will make is in regard to its basic structure. This is particularly true when more than one person is involved. At the Cordoba Law Firm, PLLC, our Lake Jackson business formation attorneys can guide you through the options available. In cases where you want to name multiple partners but limit individual roles, a limited partnership may be the best option. Through a limited partnership agreement, clear boundaries can be set in regard to each party's obligations, their legal rights, and their liability.
Our Brazoria County Business Formation Attorneys Located in Lake Jackson Provide the Legal Guidance You Need in Creating a Limited Partnership
A limited partnership, otherwise referred to as an LP, is a common type of business structure in Texas. It allows you to create a partnership agreement and designate an entity or one or two people as general partners in the company, with full rights and responsibilities, while giving one or two others more limited roles.
At the Cordoba Law Firm, PLLC, our Lake Jackson business formation attorneys can guide you through the process of creating a partnership agreement that protects the best interests of the business and all of those involved. The following are some of the provisions it should include as detailed under the Texas Business Organizations Code (BOC):
- Assignment of interest in the business;
- Rights to vote on matters impacting the business;
- Rights and limitations regarding distributions;
- Obligations in terms of contributions to the business;
- Details regarding compensation for management duties;
- A list of non-management functions;
- Provisions for withdrawal or termination of the partnership.
Advantages of a Limited Partnership in Texas
At the Cordoba Law Firm, PLLC, our primary concern is protecting you and your business. Our experienced Lake Jackson business formation attorneys can thoroughly review all of the options available to determine whether a limited partnership is your best choice. Among the advantages of a limited partnership agreement include:
- Provides clear boundaries in regard to full ownership in the business and responsibility for daily operations;
- Allows you to partner with others and accept contributions while limiting their role and their rights to vote on company business;
- Protects the limited partners from legal liability beyond the amount of their stake in the business;
- Offers the same tax benefits as full partnerships under Internal Revenue Service (IRS) guidelines, namely that profits and losses pass through the business and are instead reported on each partner’s personal tax return.
A limited partnership can be an ideal choice when seeking investors in your business. It is also frequently used to acknowledge and promote those within your company who make significant contributions towards your success.
Discuss Your Options with Our Brazoria County Texas Business Formation Attorneys Located in Lake Jackson
At Cordoba Law Firm, PLLC, we provide the professional legal guidance you need in creating a limited partnership. To discuss your options, call or contact our Lake Jackson business formation attorneys online today.