Final answer:
The partner with unlimited liability in a limited partnership is known as the general partner. This partner manages the company and can be personally liable for the business's obligations, unlike limited partners whose liability is capped at their investment amount.
Step-by-step explanation:
The partner in a limited partnership who has unlimited liability is referred to as the general partner. In limited partnerships, there are also limited partners who have their liability restricted to the amount of their investment in the company; however, they do not have a say in the daily operations of the business. The general partner, on the other hand, is responsible for managing the business and can be held personally liable for the debts and obligations of the partnership, potentially risking personal assets like homes, cars, or personal bank accounts.
While a general partnership allows the sharing of responsibilities and profits, all partners are also accountable for the business's debts, and personal liability can present significant risks. If the partnership dissolves due to a partner leaving or passing away, the business might undergo substantial changes even though the name may remain the same.