What type of business structure would limit liability for certain partners only?

A limited partnership is designed to have a mix of general and limited partners. In this structure, general partners manage the business and have unlimited liability, meaning they can be personally responsible for the debts and obligations of the partnership. In contrast, limited partners contribute capital and share in the profits but have their liability restricted to the amount they invested in the partnership. This means that if the business incurs debts, the personal assets of the limited partners are generally protected beyond their initial investment.

This structure is particularly advantageous for investors who want to participate in the business's profits without exposing their personal assets to risk. Understanding the distinction between general and limited partners is essential in recognizing how the limited partnership protects certain partners' liability while allowing the business to benefit from a wider pool of capital investment.