Set up a business partnership
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1. Setting up
In a partnership, you and your partner (or partners) personally share responsibility for your business. This includes:
- any losses your business makes
- bills for things you buy for your business, like stock or equipment
Partners share the business바카라 사이트™s profits, and each partner pays tax on their share.
A partner does not have to be an actual person. For example, a limited company counts as a 바카라 사이트˜legal person바카라 사이트™ and can also be a partner.
What you need to do
When you set up a business partnership you need to:
- choose a name
- choose a 바카라 사이트˜nominated partner바카라 사이트™
- register with HM Revenue and Customs (HMRC)
The 바카라 사이트˜nominated partner바카라 사이트™ is responsible for managing the partnership바카라 사이트™s tax returns and keeping business records.
There are different rules for limited partnerships and limited liability partnerships (LLPs).
2. Naming your partnership
You can trade under your own names, or you can choose another name for your business. You do not need to register your name.
You must include all the partners바카라 사이트™ names and the business name (if you have one) on official paperwork, for example invoices and letters.
Business names
Business partnership names must not:
- include 바카라 사이트˜limited바카라 사이트™, 바카라 사이트˜Ltd바카라 사이트™, 바카라 사이트˜limited liability partnership, 바카라 사이트˜LLP바카라 사이트™, 바카라 사이트˜public limited company바카라 사이트™ or 바카라 사이트˜plc바카라 사이트™
- be offensive
- be the same as an existing trade mark
Your name also cannot contain a 바카라 사이트˜sensitive바카라 사이트™ word or expression, or suggest a connection with government or local authorities, unless you get permission.
Example
To use 바카라 사이트˜Accredited바카라 사이트™ in your company바카라 사이트™s name, you need permission from the Department for Business and Trade (DBT).
Check which words you need permission to use, and who from.
You바카라 사이트™ll need to register your name as a trade mark if you want to stop people from trading under your business name.
3. Register the partnership
You must register your partnership for Self Assessment with HM Revenue and Customs (HMRC) if you바카라 사이트™re the 바카라 사이트˜nominated partner바카라 사이트™. This means you바카라 사이트™re responsible for sending the partnership tax return.
The other partners need to register separately.
All partners also need to send their own tax returns as individuals.
You must register by 5 October in your business바카라 사이트™s second tax year, or you could be charged a penalty.
Example
If you started a partnership or became a partner during the 2024 to 2025 tax year, you must register before 5 October 2025.
Other ways to register
You can also register the partnership using form SA400 if you cannot register online. You can register as a partner using form SA401.
Registering for VAT
You must also register for VAT if your VAT taxable turnover is more than £90,000. You can choose to register if it바카라 사이트™s below this, for example to reclaim VAT on business supplies.
You can appoint an agent to deal with HMRC on your behalf.
After you바카라 사이트™ve registered
You바카라 사이트™ll need to keep records so you바카라 사이트™re able to fill in:ÌýÌýÌý
- the partnership return - if you바카라 사이트™re the nominated partnerÌýÌýÌý
- your individual Self Assessment tax returnÌý - everyone in the partnership must do thisÌý
The nominated partner should complete the partnership return as soon as possible, so the other partners are able to use this information to complete their individual Self Assessment tax return. Find out how to get help with your tax return.Ìý
You can send your return any time after 5 April to the filing deadline.ÌýÌý
If you send the partnership return late, each individual in the partnership will have to pay a penalty.
You must then pay your Self Assessment tax bill by 31 January. Find out how to prepare for your bill.