In some partnerships, GP accounts for 1% of the partnership shares. Does GP also divide profits according to 1%?

That was not the case. The rights and obligations between GP and LP shall be agreed by both parties themselves, and their dividends shall be fulfilled according to the partnership agreement. Limited partnerships are similar to investment banks in the United States. Don't use that version of the Industrial and Commercial Bureau.

GP is the manager of a limited partnership and has the final decision on the partnership. How much should GP take according to industry norms? Let me talk to you:

For example, GP manages a private equity fund of 6.5438+million, and our expected rate of return is 654.38+00%, so our income should be 6.5438+million. Within 654.38+00,000 yuan, dividends will be paid as agreed. But the problem is, in fact, our income this year is 2 million, so the excess is 654.38+0 million, GP takes 45%, and the rest is distributed to other LPs.

This kind of partnership is similar to American investment banks, which raise funds through partnership, invest in income-generating enterprises, and obtain income through IPO or previous mergers and acquisitions.

Don't underestimate GP. Your money goes into the limited partnership bit by bit, so it is equal to GP's money. It doesn't matter who said it, only GP said it. Before he resigned, GP was the founder of this partnership.