The meaning of LP and GP in funds (pictures and text) GP and LP are common professional terms in funds. Let’s learn their specific meanings and differences. GP, the full name is General Partner, which means general partner in Chinese and generally refers to the management organization or natural person of an equity investment fund. LP, the full name is Limited Partner, which means limited partner in Chinese, that is, institutional investors and individual investors such as enterprises or financial insurance institutions that participate in the investment, or those who are converted into limited partners with the unanimous consent of other partners in accordance with the law, are recognized as such in accordance with the law. Partners of persons without capacity for civil conduct or persons with limited capacity for civil conduct. After understanding the basic meanings of GP and LP, let’s learn the difference between the two. First of all, in terms of liability for corporate debts, a limited partnership is composed of general partners and limited partners. The general partners bear unlimited joint and several liability for the debts of the partnership, and the limited partners are limited to the amount of their subscribed capital contributions. Debt liability. Secondly, in terms of transactions with this enterprise, unless otherwise agreed in the partnership agreement or with the unanimous consent of all partners, general partners are not allowed to conduct transactions with this partnership, while limited partners can conduct transactions with this limited partnership. Next, in terms of non-competition, according to regulations, limited partners may operate businesses on their own or in partnership with others that compete with the limited partnership; however, unless otherwise stipulated in the partnership agreement.