According to our textbook, all partnerships are required by…

According to our textbook, all partnerships are required by law to have at least one general partner who is responsible for the operation and activities of the business, but it is possible for other partners to be involved in the business on a limited basis.

A nominal partner means “in name only.” Nominal partners are…

A nominal partner means “in name only.” Nominal partners are not active in the business and have no investment. If Jake Smith owned a horse ranch and named it Jake Smith and Sons, assuming they had no investment in the business, Jake’s sons would be nominal partners.