A limited liability partnership (LLP) is type of business structure in which all partners have limited liability for the business. That’s means they can’t be held personally liable if the company — or one of their partners — is sued.
In an LLP, all partners are allowed to participate in running the business. A company has to have at least two partners to become an LLP.
When it comes to taxes, LLPs avoid the double taxation that some types of corporations are subject to. In a partnership, the profits are taxed solely on the partners’ personal tax returns. In some other types of business formations, the profits are taxed first as corporate income tax and then the shareholders’ dividends are taxed on their personal tax returns...