A limited partnership is designed specifically to provide limited liability to some partners, distinguishing it from other types of partnership structures. In a limited partnership, there are two categories of partners: general partners, who manage the business and have unlimited liability for the debts of the partnership, and limited partners, who have liability that is restricted to the amount of their investment in the business. This structure allows limited partners to invest and share in the profits without being personally liable for the partnership’s obligations beyond their initial investment.
The other types of partnerships mentioned do not offer a similar arrangement. A general partnership involves partners who equally share responsibility for managing the business and bear unlimited liability for debts. A joint venture, while similar to a partnership, typically pertains to a temporary business arrangement for a specific project or goal and does not inherently provide limited liability. Lastly, a sole proprietorship is owned by a single individual who bears complete personal liability for the business's debts. This fundamental distinction in liability makes limited partnership the correct answer.