The Government of Alberta maintains a database to record important corporate information for every corporation registered to do business in Alberta. Those responsible for the corporation must ensure that the information is kept up-to-date. You may register such changes at New Urban Registry. One such piece of corporate information pertains to ’Limited Partnership’.
What is a ‘Limited Partnership’?
There are several methods by which individuals can hold or own their interests in a business. One such method is through a ‘Limited Partnership’.
A ‘Limited Partnership’ is a form of partnership. A simple ‘Partnership’ is an arrangement between two or more people to engage jointly in a venture with a view to earn a profit. Each ‘Partner’ is entitled to a share of the profits earned by the venture, but each partner may also be liable for the debts or obligations incurred by the other partner(s). A “Limited Partnership” is intended to limit the liability of one or more of the partners, with legal responsibility residing in one or more “General Partners’. This typically entails preparation and execution of a ‘Limited Partnership Agreement’, and a ‘Certificate of Limited Partnership’ prepared by solicitors for the Limited Partnership. The certificate must be filed at New Urban Registry to establish the entity as a proper limited partnership.
Partnership (whether simple or limited) is a specialized area of law. We recommend that you consult your lawyer or other professional advisor(s) prior to choosing the method by which you wish to hold your interest in a business.
For more information, please visit Masuch Albert LLP.