Running a partnership
Partners can run their partnership themselves or delegate it to the employees of their partnership. It is also perfectly possible to have so-called “sleeping partners” who contribute financially to the partnership without being involved in daily business.
A deed of partnership may lay out the details on how to manage the business and what duties each partner has to perform. Generally, there are, however, no special restrictions or regulations to comply with while operating a partnership.
Partnerships have the right to employ people under the same conditions as any other business or company. In practice, this means that a partnership has to:
- Register with HMRC as an employer before taking someone on. Learn more about registering as an employer.
- Operate the PAYE system in order to deduct tax and NICs from employees’ salaries and wages. Learn more about PAYE system.
If a partnership intends to work as a contractor or/and subcontractor in the construction business, it must register with HM Revenue & Customs (HMRC) for the Construction Industry Scheme (CIS). Learn more about CIS.
Capital Business Links Ltd offers overall accounting and advisory service for the partnerships operating the PAYE and CIS system. If you would like to find more about our services or need a helping hand in any PAYE or CIS issue, please contact us on telephone number 0208 567 99 44 or at our e-mail address.