Buddying Up
We expect that you’ve landed here if there’s more than one of you running your business in a partnership, or that’s what you’re trying to achieve.
If you expect your business to have high impact and would like it protected, the sensible thing to do is to register a Limited Liability Partnership, or LLP to give you all some protection.
An LLP works in the same way to a limited company, in that if something goes wrong, only the LLP is liable for the business, and not it individual members. So the LLP gives you more protection, but along with it comes the usual administration hassles of running the thing.
An LLP must be registered with Companies House, and after that there are several obligations that must be met, including the tax returns of the partners, and making the name of the LLP obvious on at the premises at which it is held. You also need to keep Companies House updated as to any changes to the status of the LLP, and complete an annual tax return.
The tax treatment for LLP’s can also seem complicated at first, as its different to the treatment applied under any other vehicle. The members of the partnership still need to be registered with HMRC as self-employed too, unless of course they’re companies in which case their profits will be dealt with separately. If the LLP has employees, then it’ll need to be registered for PAYE and pay National Insurance contributions too.
We can provide all the necessary help and guidance that you need to administer the partnership appropriately, and make sure that all of the necessary documentation is completed and filed on time.
We know that when you’re running a busy business, in whatever legal form that may be, it’s a burden to have to complete extra paperwork and spend time focusing on jobs that aren’t related to making you money. We’ll also help with the taxes too, so don’t worry if you need some guidance on that.
We’ll provide you with whatever help you need and will provide a package tailored to your business. Just talk to us and we’ll provide you with all the information you need.
