You invested $50,000 to start an LLP business, but things haven't gone as planned. After two years of no profits, you have to shut the doors. The business owes creditors $75,000 for bills you haven't paid. How much money will you personally lose as a result of this business?

Question

Quizplus · Accepted Answer

In a Limited Liability Partnership (LLP), partners are not personally liable for the debts of the business beyond their initial investment. Therefore, you would lose your initial investment of $50,000, but you would not be personally responsible for the $75,000 in unpaid business debt.

You Invested $50,000 to Start an LLP Business, but Things