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Consequently many people feel that trading as a limited company gives them extra credibility and a more professional image.
What would be the advantages and disadvantages of forming a partnership with a fairly rich friend of mine who is interested in joining the business? How should we go about legally forming a partnership?
A partnership in many ways can be considered similar to the sole trader structure; you are (put simply) sharing the ownership, responsibility and liability of the business with one or more person(s)...
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Perhaps also bring additional contacts into the business. Partners can cover each other during times of absence, e.g. holidays or illness. You will be able to share the workload, with the potential for both of you to specialise in different areas of the business.
On the tax front, each partner pays tax on his or her share of the profits as if he or she were a sole trader...
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