Accounting for LLPs
Accounting for Limited Liability Partnerships (LLPs)
Aim of this resource
The aim of this summary is to provide a reference for immediate use of the main documents you will need to prepare LLP accounts.
It does not aim to cover all possible sources and if you know of others please let us know and contribute.
History, essential resources and timeline
LLPs were introduced in 2006. The main documents you will need are:
- SORP on Accounting for LLPs [Download SORP]. The SORP was published in March 2006.
- The Limited Liability Partnership Act 2000. http://www.opsi.gov.uk/acts/acts2000/ukpga_20000012_en_1
- The LLP regulations 2001 (SI 2001/1090) http://www.opsi.gov.uk/acts/acts2000/ukpga_20000012_en_1
Many of the accounting and audit aspects of the 2006 Companies Act apply to LLPs from periods commencing on or after 1 October 2008.
Most other, non-accounting aspects of the Act apply to LLPs from 1 October 2009. A summary of LLP statutory instruments relevant to LLPs can be found at [Download Statutory Instrument]
Key statutory instruments relevant to accounting and audit are SI 2008/2011, SI 2008/2012 and SI 2008/1913. These can also be downloaded from [Download Statutory Instrument]
A very useful page of frequently asked questions about Limited Liability Partnerships Accounting and Audit Regulations can be found at [Download FAQs]
An Exposure Draft on accounting for LLPs was issued in August 2009. This is likely to affect LLPs for accounting periods commencing on or after 1 January 2010. [Download exposure draft]
Sample accounts for small and medium sized LLPs are hard to locate because most file abbreviated accounts. However the larger accounting practices do provide excellent source documents.
Full sample accounts are shown in the MERCIA LLP manual [More details]
Surebeck Limited provide cost effective disclosure checklists [Go to site]
Setting up an LLP
The websites of many law firms provide practical guidance on establishing an LLP.
A checklist of issues to consider when drawing up a member’s agreement can be found at [Checklist]
A practical guide to converting to an LLP can be found at [Conversion guide]
There are a few reference books on LLPs the main ones are:
- Limited Liability Partnerships Handbook - written by Simon Young - published by Tottel [View book details]
- Accounts and Auditing of Limited Liability Partnerships - written by Yvonne Lang - published by Tottel [View book details]
- The ISCA Guide to Limited Liability Partnerships (ICSA Guides) - written by Keith Walmsley - published by ISCA [View book details]
Companies House contains a range of documents but unfortunately not a sample set of accounts
- Companies House main LLP page [Companies House LLP Page]
- Companies House Register October 2003 provides useful reading for those complete new to LLPs [Background information]
We are not aware of any stand alone LLP accounting software to prepare statutory accounts.
By stand alone we mean does not have to purchased as part of a suite of programmes. If you know of any or supply them please advise.
The professional bodies all provide useful guidance. You might need your login name to access these: ICAEW [ICAEW LLP guidance]
Other useful links
Business Link [Business Link]
Can you help?
We are looking for other items including
- Do you know any good sample LLP accounts for LLPs?
- Can you recommend any software to prepare LLP accounts?
Featured product LLP manual
The MERCIA LLP manual is the ideal aid when accounting for LLPs. It includes:
- Guidance notes
- Letter of Engagements
- Proforma accounts
- Disclosure checklists
- Work programmes