Limited liability partnerships
Limited Liability Partnership is a corporate body with separate legal identity and unlimited liability for its debts (all contracts with third parties are with LLP) but the liability of the individual partners is limited to the amount of their capital contribution.
An LLP must be incorporated and registered at Companies house to be recognised. The incorporation documents must state the name of LLP, the location of its registered office, the name and address of all the members of the LLP, and which of the members are to be designated members. Changes in membership do not affect the existence of the LLP but must be notified to the Registrar within 14 days. Accounts of an LLP must be filed at Companies House. An LLP is not liable for tax in the same way as a company; however, the partners are taxed as individuals on partnership profits.