A Limited Liability Partnership (LLP) is becoming an increasingly popular company type to register online. With Quick, you can quickly (excuse the pun), easily and securely register a new LLP online within hours. Forming an LLP online has only been possible in recent years and was previously done on paper applications. Now, with Quick's electronic online LLP formation service, you can incorporate a new LLP in a few hours for only £20.
Quick is one of the few company formation agents, including Companies House themselves, that offer this comprehensive online LLP company registration service. To register your LLP, simply navigate to the Start Up page.
An LLP shares many of the features of a normal partnership, but it offers reduced personal responsibility for the business debts. Unlike members of ordinary partnerships, the LLP itself is responsible for any debts that the company runs up and not the individual partners.
All of the profits in an LLP would be split amongst the members. The tax liability falls on the individual members, not the LLP itself. Most members are likely to be self-employed, so all income should be declared via self-assessment. If an LLP member is another business, they will be liable to pay corporation tax on any income they receive from the LLP.
A "nominated" member of the LLP will be responsible for informing the Inland Revenue of the LLP's existence and for filling in the annual Partnership tax return. This return will also contain a "Partnership Statement" which shows how profits have been divided up amongst the members.
Should the LLP generate an income of £82,000 or more, like other company structures as of the 01/04/2015, they should register for VAT. If they have employees, the LLP should set up a PAYE system to collect income tax and National Insurance contributions. We have a special offer on this with our HMRC topping.
An LLP does not have Memorandum and Articles of Association. Instead you can optionally, but advisably, create an agreement in the form of a Limited Liability Partnership Agreement. We can help you draft one here.