UK Act of Parliament 2000 United Kingdom

Limited Liability Partnerships Act 2000

What this means for your business

5 obligations
3 penalties
1 can imprison
4 guides
Enforced by
Companies House
Applies to
United Kingdom
On this page
5 compliance obligations, 4 practical guides
Read full text on legislation.gov.uk

What you must do

5 compliance obligations under this legislation — 1 can result in imprisonment.

Other requirements 1

Ensure property transfer instrument is correctly stamped

When you transfer property to a newly‑formed limited liability partnership (LLP) within the first year, you must check whether the transfer meets the two exemption conditions. If it does, you still need to have the instrument stamped with the special ‘no‑duty’ stamp or, if it doesn’t, pay the normal stamp duty. Without the correct stamp the instrument is not valid.

Director/Officer s.12 Companies House Property is conveyed to an LLP within one year of its incorporation …

Offences and prohibitions 3

Fail to notify Companies House of membership changes

Unlimited fine

If your LLP does not send the required notice to Companies House within 14 days when a member or designated member joins, leaves, or changes details, the LLP and every designated member are committing a criminal offence. On conviction you face an unlimited fine, dealt with in the Magistrates' Court.

Any Person s.9 Companies House

Submit false incorporation statement

2 years imprisonment

When registering a limited liability partnership you must include a statement confirming that the required number of people have subscribed to the incorporation document. If you knowingly make that statement false, or you do not believe it to be true, you commit a criminal offence. On conviction you could be fined without limit and face up to six months in jail if tried in the magistrates’ court, or up to two years in jail if the case goes to the Crown Court.

Any Person s.2 Companies House

Use prohibited LLP name without being a limited liability partnership

Fine up to £1,000

If you run a business and use a name that ends with “limited liability partnership”, the Welsh equivalent, or any imitation of those terms, but you are not actually registered as an LLP, you commit an offence. On conviction you face a fine of up to £1,000. The case is dealt with in the Magistrates' Court (summary trial).

Any Person Names ... Companies House

Registration and licensing 1

Register your LLP and obtain a certificate of incorporation

If you want to set up a Limited Liability Partnership, you must apply to Companies House, send in the required paperwork and get a certificate that proves your LLP is legally formed. The certificate will show the LLP’s name, number, date of incorporation and registered office. Keep the certificate safe – it’s evidence that your LLP exists.

Director/Officer s.3 Companies House When forming a new limited liability partnership

Penalties for non-compliance

3 penalties under this legislation. 1 can result in imprisonment. 2 carry an unlimited fine.

Prison risk

Submit false incorporation statement

Unlimited fine and/or 2 years imprisonment

Either way s.2 Penalises: Submit false incorporation statement
Unlimited fine

Fail to notify Companies House of membership changes

Unlimited fine

Summary only s.9 Penalises: Fail to notify Companies House of membership changes
Fine

Use prohibited LLP name without being a limited liability partnership

Fine up to £1,000

Summary only Names ... Penalises: Use prohibited LLP name without being a limited …

Practical guidance

Our guides explain how to comply with the requirements above.

Sections and provisions

21 classified provisions from this legislation.

Duties 3

  • s.3 Incorporation by registration.
  • s.12 Stamp duty. Stamp duty
  • s.14 Insolvency and winding up. law relating

Offences and penalties 4

  • s.2 Incorporation document etc.
  • s.4A Minimum membership for carrying on business
  • s.9 Registration of membership changes.
  • Names ... Names ...

Powers 2

  • s.15 Application of company law etc.
  • s.16 Consequential amendments.

Definitions 8

  • s.4 Members.
  • s.5 Relationship of members etc.
  • s.6 Members as agents.
  • s.7 Ex-members.
  • s.8 Designated members.
  • s.11 Inheritance tax.
  • s.17 General. regulations
  • s.18 Interpretation. the registrar limited liability partnership oversea limited liability partnership

Exemptions 1

  • s.1 Limited liability partnerships.