Activities of limited partnerships in Ukraine

Abstract

In order to conduct business effectively, business entities choose the most flexible and effective organizational and legal forms depending on the type of their activity. Modern realities prove that, unfortunately, limited partnerships have long since ceased to be among the leaders of types of business partnerships. It is the lack of state incentive programs, legislative systematicity, and other legal aspects that make limited partnerships extremely rare.
Despite the fact that joint-stock companies and limited liability companies are more popular, including in countries with a developed market economy, this does not mean that the organizational and legal form of a limited partnership can be neglected, because it is necessary for satisfaction practical needs in carrying out, if necessary, economic activity on the basis of mainly contractual conditions. The limited partnership is a representative of the organization of medium and small businesses in Ukraine, which should develop rapidly.
As you know, limited partnerships became widespread at the beginning of the 20th century. However, with the transformation of corporate national legislation, there has been a change in priorities. Business entities of limited liability companies began to choose this new form of company, taking into account its advantages in limiting their risk. However, the interest in the limited partnership was not lost. With the existing division of business partnerships into partnerships - capital associations and partnerships - associations of individuals, limited partnership is the most vivid representative of personal associations.It is considered expedient to take into account the experience of foreign countries and pay attention to such separate points as: the members of the company who manage the affairs of the company (or the executive body of the limited partnership) can carry out actions necessary for the current economic activity of the limited partnership, and to carry out actions that result beyond the limits of current economic activity, a decision of the general meeting of the company’s members is necessary;
introduce joint and several liability for the obligations of the limited partnership of the officials of the participants, who are legal entities, etc.
The scientific article examines the peculiarities of limited partnerships in Ukraine. The author defines both the advantages and disadvantages of such a form of business as a limited partnership; the possibilities of reviving their functioning and making certain proposals are outlined.