Scottish LP
The main feature of Scottish Partnership is that it is a separate legal entity. This means that by itself it can own assets, enter into contracts, to be a plaintiff or defendant, to own property, to borrow money and to provide certain kinds of guarantees. The hybrid status of a separate legal entity in conjunction with the tax transparency offers the best of both. This cannot be offered by limited liability partnerships created in other jurisdictions.
The main advantages of the Scottish Partnership (Scottish Limited Partnership, Scottish LP)
- There are no taxes in the UK, providing that the partnership does not trade in the UK and partners are not residents of the UK. Partners are taxed in the jurisdiction of their location.
- No requirements to submit financial statements in the Register of Enterprises.
- No requirements to submit tax declaration in the Register of Enterprises.
- Internationally recognized jurisdiction with an excellent reputation.
- High confidentiality.
- The legal requirement that the limited partners are not entitled to participate in the management of the company, makes Scottish LP an ideal mean for investment structures with a large number of partners, where management and control are assigned to the general partner or manager appointed by the general partner.
Features of the Scottish Partnership:
- Scottish partnership must consist of two or more partners who carry out business activities for profit. However, in contrast to a partnership in which all partners are jointly and severally liable for all partnership debts, the limited partnership has two types of partners: general partners who are liable for the debts and obligations of partnerships and limited partners (limited), their liability is limited to the limits of their capital contributions. Scottish partnership must consist of at least one general partner and one limited partner.
- In order to benefit from the limited liability limited partner may not participate or intervene in the management of the partnership, this function is allocated exclusively to the general partner.
- While it is not a legal requirement, but there must always be limited partnership agreement between general and limited partners. This will include, for example, the nature and size of the contributions of partners, profit distribution, administration Scottish LP, and liquidation of the partnership.
Limitations of the limited partners:
Limited partners may not:
- pick up or get back any part of their contribution to the partnership during its existence;
- participate in the management of the business or
- have the power to bind the company.
If they do, they become liable for all the debts and liabilities of the firm depending on the circumstances, as long as they have been involved in the management of the firm.
Registration
- Founders - any natural or legal person may be a partner in a partnership, or as a general or limited partner. One and the same partner may not be general and limited at the same time.
- Scottish LP must be registered in the Register of limited liability companies with Companies House in Edinburgh. To be registered, Scottish LP must specify the principal place of business in Scotland. Nevertheless, after this, registration can be transferred to another jurisdiction.
- Registration period - 3 weeks. A complete set of documents - 4-5 weeks, which includes the following:
- Registration certificate
- The contract of partnership
- Certificate of participation
- Power of attorney
- Trust Deed
Necessary documents for purchase / registration:
- A copy of the passport of the beneficiary (the company owner).
- Information about the place of residence of the beneficiary.
How to buy / register?
- Call us and arrange a meeting with a representative of LTSS International in your city.
