Question
Bill and Hillary decide to form a partnership. Hillary will run the day-to-day operations of the business. Bill will invest $1,000 in the business but
Bill and Hillary decide to form a partnership. Hillary will run the day-to-day operations of the business. Bill will invest $1,000 in the business but does not want to run any of the day-to-day operations of the business. Hillary will be the general partner, and Bill will be the limited partner of the partnership. To be treated as a limited partnership and limit Bill's personal liability for any debts and obligations of the business to his $1,000 investment, Hillary and Bill must file a Certificate of Limited Partnership with the Secretary of State's office in the state in which they organize their limited partnership. True or False?
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