General and Limited Partnerships
Since the establishment of limited liability companies or LLCs, partnerships are rarely used. However, there are still many in existence. Sometimes it is advantageous to convert either one to a limited liability company or LLC. A general partnership does not afford any liability protection for the partners. A limited liability company provides protection only for the limited partners. For estate planning purposes, a family limited partnership may be established to allow for a transfer of assets to family members to help decrease the estate tax.