The fundamental difference between a general partnership and a limited company is that the partners of a general partnership bear unlimited joint and several liability for the debts of the partnership, while the shareholders of a limited liability company bear limited liability for the debts of the company to the extent of their subscribed capital contribution. In addition, limited liability companies and joint-stock companies are typical forms of enterprises in China, and they have a set of scientific systems and regulations for enterprise management, which is one of the main differences between limited liability companies and general partnerships.
Legal basis:
Article 3 of the Company Law of People's Republic of China (PRC) is an enterprise legal person, with independent legal person property and legal person property rights. The company is liable for its debts with all its property.
Shareholders of a limited liability company shall be liable to the company to the extent of their subscribed capital contribution; Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.