If you’re going into business with one
or more partners you’ll need to decide whether you’ll form a partnership or a limited liability partnership (LLP).
Partnership or Limited Liability Partnership?
The similarities of a partnership and a LLP are that each partner shares the responsibility of
the business including risks, costs and profit. The difference however, is with a LLP the liability of the members of
the business is limited, giving members some protection should the business fall into trouble. The LLP is a separate legal
entity therefore the LLP itself is liable for the full extent of its assets.
We have partnership (also known as a deed of partnership) and LLP agreements available to download now!
Business set up is different for a partnership and LLP.
Partnership - With a partnership each member needs to register as self employed with HM Revenue & Customs (HMRC) which can be done online. You will also
need to have a written partnership contract between the partners. Partnership agreement form.
Limited liability partnership - When setting up a LLP all members need to register as self employed with HM Revenue & Customs (HMRC) which can be done
online. There needs to be at least 2 designated members and if at any time there are fewer than 2 designated members all
members will be considered designated members (click for more information on designated members and their responsibilities).
The LLP needs to be registered with Companies House. You will also need to have a written limited liability partnership contract
between all members. Limited liability partnership agreement form.
All of our partnership agreements are available to to be downloaded instantly.