Unlimited liability
Unlimited liability is when a single owner or partners are personally liable for debts of their legal entity.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Unlimited liability. Partners may be personally liable for debts of the partnership.
Related concepts
- Accounting (alternatively known as accountancy) is management of financial data, information, and knowledge about financial transactions of legal entities. Accountancy tends to include bookkeeping and, depending on a particilar enterprise, may also include quatitative analysis of financial data in the bookkeeping system and/or business intelligence.
