Redundancy for staff employed with a business partnership

[westnet]

Hi

I have been in a business partnership for about 10 years.

Within the partnership we have employed 5 staff. My partner wants to cease the partnership and retire.

If I continue the business on my own, will I need to honor the tenure for each staff member or will they start new contracts. I am a little concerned that if I take the business over on my own and it does not work out that I will be left with a very hefty redundancy bill on my own in a year or so

Kind Regards

 

[mathepac]

What does your partnership agreement say about ending the partnership? It is pointless speculating about the future unless you know what steps are necessary to dissolve the partnership.

 

[Joe_90]

Go and talk to an accountant if you take over the business you take over the staff and their redundancy.

If the business has a value might be worthwhile transferring it to a company generous entrepreneur relief for CGT.

 

[thedaddyman]

I would expect that TUPE (transfer of undertakings of permanent employees) would apply in the first instance for any staff in scope if you continue the business on your own but you should take legal advice from a HR legal expert to ensure that is indeed the case.
If it does and apply assuming you would only be paying statutory then it is an easy task to work out the potentially liability you face.