What is a "designated" member?

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Hi - I’ve just been told by a colleague that I have been named the designated member of our new LLP. I’m kind of panicking a little bit. What does that even mean? Thank you in advance.

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A designated member of an limited liability partnership is a member who takes on additional administrative responsibilities. There must be at least two designated members at all times, so you will not be the only one. As a designated member, you will carry out the same duties as the other members, but you (and the other designated member) will also be responsible for:

  • Registering the LLP for Self-Assessment (and VAT, if required)
  • Keeping proper and accurate accounting records
  • Preparing annual returns and partnership accounts
  • Preparing partnership tax returns
  • Notifying Companies House if there are any changes to the LLP’s or members’ details
  • Appointing an auditor or accountant, where appropriate
  • Maintaining statutory registers
  • Acting on behalf of the entire LLP if it is wound up

It is very important that you carry out your statutory duties as a designated member, otherwise you could be prosecuted.

a year ago
 

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