A partnership is a for-profit business association of two or more parties, known as partners, who agree to cooperate for their mutual benefits. The partners in a partnership may be individuals, groups of individuals, companies, and corporations.
Each partner shares the organization’s profits and control of the business operation. The consequence of this profit sharing is that these partners are, jointly and independently liable for the partnership’s debts.
You must register your partnership and its members with HM Revenue and Customs (HMRC). Partners who are individuals pay Income Tax and National Insurance through self-assessment, whilst partners who are a company must be registered with HMRC for Corporation Tax.