LLP vs LTD

LLP (Limited Liability Partnership) and LTD (Limited Company) are two different legal forms of business in the UK. Each has its own advantages and disadvantages, and may be more appropriate for some businesses depending on their needs.
An LLP is a business form that combines aspects of a sole proprietorship and a company. LLP partners are considered self-employed and are liable for the debts of the business to the extent of their contributed capital. LLP partners may also be held personally liable for certain tax or labor obligations.

An LTD company, on the other hand, is a form of enterprise in which shareholders are liable only for the debts of the company up to the amount of their capital contributed in the form of shares. Shareholders are not personally liable for the company’s debts, which protects them from personal loss in the event of default.
In general, LLP companies are more flexible in terms of management and structure, while LTD companies are considered more professional and may be more appropriate for growing companies or those in the process of raising capital.

Companies need to assess their liability, management and tax needs to determine the most appropriate legal form for them.