 Hello in this lecture, we will define limited partners according to fundamental accounting principles while the 22nd edition the definition of limited partners is Partners who have no personal liability for Partnership debts beyond the amounts that they invest in the partnership when we're thinking about the limited partners We can contrast the limited partners to the typical partners in a partnership the general partners So if we set up a general partnership, we may then include a limited partner the general partnership Typically has liability Exposure similar to a sole proprietor meaning both the assets that they put into the partnership as well as Personal assets could be on the line in terms of liability exposure for the general partners a limited partner on the other hand Typically is more of an investor meaning the limited partner is investing money into the general partnership not being in charge of the decision-making of the partnership in terms of managerial decisions and Therefore has less liability in terms of the personal assets of the limited partner The assets that are put into the business are subject to any problems within the business Personal assets in terms of a problem or a lawsuit should have more liability Protection from the limited partner as opposed to the general partner What that does is it allows for limited partners such as investors to more easily be able to invest their capital