Partnering up to get going
One of the major challenges when starting a business is deciding
what form your business union should take. There are various
structures: sole trader, partnership, limited liability partnerships, company etc. and each can
be great for you. That said, there is not a single model that is truly ‘one size fits all’ and you
will need to consider what works in the circumstances. You also need to consider the longterm goals, such as whether what is appropriate in 2014 will still work in 2020 (within reason
of course!).
One of the oldest structures that can be used is that of a partnership. A group of partners
will each be able to bind the business but, in an unincorporated partnership, each partner
will have unlimited liability for the liabilities of the partnership. Following much campaigning,
the concept of a Limited Liability Partnership was formally established by the Limited Liability
Partnership Regulations in 2009. A major benefit of an LLP is that it limits the liability of the
partners and provides a “corporate identity” to the partnership w