Document background
The Limited Partnership Contract is a crucial document used when establishing a limited partnership structure in Nigeria, particularly suitable for businesses seeking to combine active management with passive investment. This contract type is governed by Nigerian Partnership Law and CAMA 2020, providing a framework that allows some partners (general partners) to actively manage the business while others (limited partners) can invest capital without assuming full liability or management responsibilities. The document typically includes detailed provisions on capital contributions, profit sharing, management rights, transfer restrictions, and partner obligations. It's particularly relevant in sectors requiring substantial capital investment or where investors prefer limited liability while allowing experienced operators to manage the business. The Limited Partnership Contract must comply with Nigerian regulatory requirements and should be carefully drafted to protect all parties' interests while maintaining operational flexibility.
