A limited liability partnership (LLP) is a separate legal entity and body corporate that provides the benefits of a normal partnership while protecting the personal assets of its members by limiting their liability. Any new or existing business or two or more persons can incorporate an LLP, which is governed by the Limited Liability Partnership Act 2000 and the Limited Liability Partnership Regulations 2001. While setting up a limited liability partnership in the UK may be easy, understanding the legal and operational aspects can be complex, calling for the professional services of LLP registration agents like Companyformation24.7. Its online services offered through companyformations247.co.uk make the task of LLP formation relatively simple and fast.
Limited liability partnership companies can only be formed by any lawful business that is carried out with the intent of making profit. Charities or non-profit making businesses are not allowed to form limited liability partnership companies. Formation of a limited liability partnership company involves submitting an incorporation document along with the LLP registration fee to the Registrar of Companies.
The incorporation document includes the name of the LLP, location of the registered office of the LLP, the registered office address, name and complete address as well as birth date of every member and whether selected members or all will be designated members. It includes a compliance statement that is required to be signed by a solicitor or any of the members. All members and designated members are required to sign and date this document to indicate their consent.
The Memorandum and Articles of Association are not required for an LLP; however, the partners can forge an agreement between the members through an LLP agreement. Companyformations24.7 offers a basic LLP agreement through its online service. Any limited company cannot be converted easily to an LLP, unlike conversion to a Public Limited Company (PLC). Though the provisions for LLP registration are similar to new limited company registration, you cannot purchase an off-the-shelf LLP company in a similar manner.
Every limited liability partnership in the UK is required to have at least two designated members who are formally appointed. With the consent of other members, any member can be made a designated member. Such designated members enjoy the same rights and duties towards the LLP as any other member. Some of their duties are equivalent to those of the company director or secretary; for e.g., signing annual accounts and filing annual returns to the Companies House and providing statement of assets, debts and liabilities of the business in case of insolvency.
LLPs have to provide financial information similar to other companies filing annual returns, and intimating membership changes and changes to member names, addresses and the registered office address.
Companyformations24.7 can facilitate LLP registration through its online services and simplify matters related to the same. For a professional consultation, contact the qualified and experienced representatives of Companyformations24.7 at companyformations247.co.uk.