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Incorporate your business - Limited Partnerships. A variation on the general partnership theme is the limited partnership (LP)(which is not the same as a limited liability company, or the limited liability partnership). An LP is a form of business entity that is designed to cure one of the primary disadvantages of the general partnership: the "unlimited liability" problem.
A limited partnership has one "general" and one or more "limited" partners. The general partner is responsible for the management of the partnership and receives a share of partnership profits and losses. The limited partners share in the profits and losses, but are not permitted to have any management responsibilities. In return, their liability is limited to their respective capital contributions to the partnership. The general partner has unlimited liability.
The limited partnership form of business is most often used for specific projects, for which a developer (the general partner with technical and management expertise) wishes to attract investors (limited partners) who do not want the risk of personal liability and don't want to participate in management.
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