Limited liability partnership (LLP)
A form of the LLC favored and used for professional associations, such as accountants and attorneys. |
Similar financial terms
PLC (Public Limited Company)Under UK law there must be a minimum of seven shareholders in a PLC. There is no maximum number of shareholders allowed. Shares in PLCs can be bought or sold on the Stock Market by the general public. By implication, most big companies choose this route to growth as it provides access to large amounts of capital that can be used for investment, expansion and acquisition. Although technically owned by the shareholders, its management determines the affairs of the company. The US equivalents are I ...
Unlimited liability
Full liability for the debt and other obligations of a legal entity. Generally, partners of a partnership and sole propietors have unlimited liability.
Master limited partnership (MLP)
A publicly traded limited partnership.
Limited-tax general obligation bond
A general obligation bond that is limited as to revenue sources.
Limited-liability instrument
A security, such as a call option, in which the owner can only lose his initial investment.
Limited partnership
A partnership that includes one or more partners who have limited liability.
Limited partner
A partner who has limited legal liability for the obligations of the partnership.
Limited liability
Limitation of possible loss to what has already been invested.
Cost of limited partner capital
The discount rate that equates the after-tax inflows with outflows for capital raised from limited partners.
Limited Company
A domestic business company with limited liabilities.
Limited Liability Company (LLC)
Consists of member owners and a manager, at a minimum. Similar to a corporation that is taxed as a partnership or as an S-corporation. More specifically, it combines the more favorable characteristics of a corporation and a partnership. The LLC structure permits the complete pass-through of tax advantages and operational flexibility found in a partnership, operating in a corporate-style structure, with limited liability as provided by the state's laws.
Limited liability limited partnership (LLLP)
Intended to protect the general partners from liability. Previously, the general partner was a corporation to protect the principals from personal liability. Under the LLLP, an individual could be a general partner and have limited personal liability.
Liability swap
An interest rate swap used to alter the cash flow characteristics of an institution's liabilities so as to provide a better match with its assets.
Liability funding strategies
Investment strategies that select assets so that cash flows will equal or exceed the client's obligations.
Liability
A financial obligation, or the cash outlay that must be made at a specific time to satisfy the contractual terms of such an obligation.
Contingent pension liability
Under ERISA, the firm is liable to the plan participants for up to 39% of the net worth of the firm.
Partnership
Shared ownership among two or more individuals, some of whom may, but do not necessarily, have limited liability.
