How to set up an LLP

Copyright © 2025 LexisNexis
Produced by Tolley in association with Jackie Barker of Wells Associates
Owner-Managed Businesses
Guidance

How to set up an LLP

Copyright © 2025 LexisNexis
Produced by Tolley in association with Jackie Barker of Wells Associates
Owner-Managed Businesses
Guidance
imgtext

This note explains the legal requirements that must be met in connection with the incorporation of a limited liability partnership (LLP), what forms need to be completed to register the LLP with the relevant authorities and the practical steps that need to be taken.

Key requirements to form an LLP

An LLP must be formed for the purpose of carrying on a lawful business with a view to making a profit. At least two persons must form the LLP, known as the initial subscribers, who may include individuals, companies, trustees and / or other LLPs.

The subscribers of an LLP are known as members. There is no limit to the number of members who can be appointed and the only restrictions are that members must not:

  1. •

    have been disqualified from acting as a company director or member of an LLP, or

  2. •

    be an undischarged bankrupt

It is possible for a minor to be appointed as a member of an LLP if it is commercially justifiable to

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
TAKE A FREE TRIAL NOW
Jackie Barker
Jackie Barker linkedinicon

Tax Partner at Wells Associates , Corporate Tax, OMB, Employment Tax, Personal Tax, VAT, IHT Trusts and Estates, Accounting

I have worked in tax since becoming an associate of the CIOT in 2004, having previously qualified as a member of ACCA.As tax partner with Wells Associates I advise on all aspects of direct taxation including personal and corporate planning. We work with a wide range of individuals and owner-managed businesses offering guidance and support at all stages, from assisting with compliance matters through to advising on more complex strategic matters and providing tax efficient solutions.

Read moreRead more
Powered by Tolley+™
  • 22 Feb 2024 08:30

Home/ Tolley Tax Guidance/ Owner-Managed Businesses / Advising partnerships

Popular Articles

Corporation Tax

Substantial shareholding exemption ― overview

Substantial shareholding exemption ― overviewThe substantial shareholdings exemption (SSE) provides a complete exemption from the liability to corporation tax on the gains generated from qualifying disposals of shares and interests in shares by qualifying companies. No claim is required. Provided

14 Jul 2020 13:44 | Produced by Tolley Read more Read more
Personal Tax

Timing of disposal for capital gains tax

Timing of disposal for capital gains taxDate of disposalThe date of the disposal determines the period in which the gain is subject to capital gains tax (CGT). When the rates of CGT change, the determination of the date of disposal can also affect the rate of CGT that applies to the gain.See the

14 Jul 2020 13:50 | Produced by Tolley Read more Read more
tag-icon Year-end tax planning
Employment Tax

Fuel-related payments / mileage payments

Fuel-related payments / mileage paymentsIntroductionMost employers will make payments to employees in relation to business travel. Among the most common payments in relation to business travel are fuel and mileage payments. If an employer does not reimburse these amounts, then the employee will be

14 Jul 2020 11:46 | Produced by Tolley in association with Philip Rutherford Read more Read more