A partnership exists where two or more persons can collectively build a more successful business than they would individually. The higher level requirements are as follows:
- The partners will agree to share the joint profits in pre-determined percentages as set out on a Partnership Agreement, which sets the rules of how the partners will work together. We can help you to draft partnership agreements
- Partners are taxed in the same way as sole traders, but only on their own share of the partnership profits. You can register as self employed by telephone 08459 15 45 15 or by completing form CWF1 and submitting by post.
- Once you have registered you will be required to pay class 2 national insurance contributions
As with sole traders, the partners are legally liable to pay the debts of the business. Each partner is ‘jointly and severally’ liable for the partnership debts, so that if certain partners are unable to pay their share of the partnership debts then those debts can fall on the other partners.
Contact us today for free consultation
Telephone 0207 183 1082