Need help? Call 0345 838 4074 Register Login

The basics

Related services


A limited liability partnership (LLP) is a relatively new form of business entity. It's effectively a cross between a company and a partnership; it operates as a partnership but limits the liability of the partners.

An LLP has its own separate legal identity and has to be registered at Companies House. It has the organisational flexibility of a partnership and would have a written partnership agreement detailing how the partnership will work.

In an LLP, partners are also known as 'members'. As a member of an LLP, you and the other members will be free to agree on the relationship between you, as partners do in a partnership. As a separate legal entity, an LLP can continue to exist despite changes in membership.


  • Liability of members is limited (but you may still be asked for personal guarantees in certain circumstances).
  • It has the organisational flexibility of a partnership.


  • Annual accounts must be prepared and filed with Companies House.
  • There are some set-up costs.
  • There is still some Companies House administration burden – more than for a normal partnership.
  • It's not as easy to raise money as a company.

What is the law guide

The Desktop Lawyer law guide aims to present the law to you in a comprehensive yet jargon-free and easy-to-read format. Our law guide is constantly kept up to date with changes in business and family law by our team of in house solicitors, and includes information across all the legal jurisdictions in the UK.

Our law guide is free to use. Where we provide documents related to this area of law, or where they may help you with any legal issue in this area, they will be listed to the right of this message.