What liabilities do general partners in a limited partnership have?

General partners in a limited partnership hold unlimited liability for the debts and obligations of the business. This means that they are personally responsible for all business liabilities, which can extend beyond their investment in the partnership. If the partnership incurs debts or faces legal judgments, general partners can be held accountable with their personal assets, unlike limited partners who typically have liability restricted to their investment in the partnership.

In the context of limited partnerships, there are two types of partners: general partners and limited partners. General partners manage the day-to-day operations and are exposed to greater financial risk because their liability is not capped. This unlimited liability is a crucial feature of general partnerships and it motivates the distinction between general and limited partners in a business structure. This understanding is fundamental in financial and legal contexts concerning business operations, risk assessment, and management.