Partnerships and LLPs

Partnerships and LLPs Solicitors in London and Essex

Many partnerships are created without the knowledge of those involved. A partnership is the relations between two or more persons carrying on a business with a common view to profit. No formal agreement is needed for a partnership to exist and, if there is no such agreement in place, the Partnership Act 1890 will apply.

The 1890 Act is archaic and outdated and, as such, a partnership agreement should be implemented to set out modern and comprehensive legal terms of the business relationship.

A limited liability partnership (LLP) is a corporate entity with a separate legal personality to its owners (known as members). The attraction of an LLP is limited liability status, and this makes it popular amongst many professional partnerships. It is not uncommon to see traditional partnerships taking the decision to convert to an LLP. The downside of an LLP is the cost of such limited liability, namely, the administrative and financial burden of making the necessary filings and returns to Companies House (as well as the fact that LLP accounts are on public record). 

Whether you are running a traditional partnership, or an LLP, or wish to incorporate your traditional partnership into an LLP, it is essential to seek advice from a specialist who is well-versed in  Partnerships and LLPs matters. When it comes to partnership or LLP exits, the terms of any agreements between the partners or members will be essential and most certainly the starting point for consideration of the legal position.

Our unique selling point is that we understand what clients want from their lawyers. We will manage your transaction proactively, with careful attention to detail while never losing sight of the bigger picture.

While working with us you will have access to our strong network of other professionals such as accountants, independent financial advisers and bankers.

We offer a range of pricing options and will be happy to discuss these with you. As a client-centred law firm, we will be transparent with you about our pricing and actively manage these in line with our agreements.

How we can help with Partnerships and LLPs

We will give you expert advice and representation from the start-to-finish of your matter, while making sure that you understand the various stages along the way.

We can guide you through matters including:

• Advising on the best way to structure your business from a legal perspective, which may be a Partnership or LLP structure. We will work with your other advisors, such as accountants, to ensure that the business structure works from other perspectives (such as tax).
• If a traditional partnership is adopted, we can assist with the drafting and advising on the partnership agreement.
• If an LLP structure is adopted, we can assist you with the incorporation of the LLP and drafting and advising on the LLP agreement. 
• If a traditional partnership is being converted to an LLP, then we will provide you with specialist advice on the best way of proceeding. As the conversion process takes the form of an asset/business sale, we will consider with you all the relevant legal issues including the transfer of contracts, consideration of staff transfers under the TUPE regulations, any licensing considerations to ensure the LLP is property licensed when the conversion takes place, and dealing with any real estate transfers into the LLP.
• Project managing your transaction, based on industry practice, to make sure that all relevant tasks are completed properly and allowing you to focus on day-to-day business matters in the knowledge that your advisers are protecting your interests.