You must have at least one 'general partner' and one 'limited partner' - a partner can be an individual or a company.
What type of partner you are makes a difference to:
- your liability for the partnership's debts
- your responsibilities
You can't be a general and a limited partner at the same time.
All partners are equally responsible for any debts or obligations until the partnership has been registered.
As a limited partner you:
- contribute an amount of money or property to the business when it's set up
- are only liable for debts up to the amount you've contributed
- can't manage the business
- can't remove your original contribution
As a general partner you:
- are liable for any debts the business can't pay
- control and manage the business
- can make irreversible ('binding') decisions for the business
- can apply for your business to act as an authorised contractual scheme (ACS)
- register the business with Companies House
- register the business for Self Assessment with HMRC - you must also register separately as an individual
- register the business for VAT if you expect sales to be more than £82,000 a year
- send an annual return to Companies House
- act for the business if it's wound up and dissolved
You don't have to send accounts to Companies House unless the general partner is a limited company.
You must also tell Companies House about any changes, eg to the registered name, address or members.