BVI Limited Partnerships are formed by two or more persons under which there are one or more general partners and one or more limited partners. The Limited Partnership must submit articles via a registered agent to the BVI Registrar of Limited Partnerships, who upon payment of the prescribed fee of US$500 will issue a Certificate of Limited Partnership.
The BVI Limited Partnership overcomes two perennial problems associated with traditional unlimited partnerships, (1) mutual agency of a partnership leading to joint and severable liability between the partners and (2) unlimited liability of individual partners exposing their own wealth and personal assets to the same risks borne by the partnership assets.
The BVI Limited Partnership creates a separate legal entity able to conduct business and, as with a corporation of limited liability, shield the extent of any personal liability limited partners may have to third parties or inter se. |
