The DETI Company’s Registry is continuing its mission to update company law in an effort to cut down on the bureaucratic burden facing business in Northern Ireland.

The Registry has launched a consultation on changing legislation on the number of partners involved in a business. At present businesses (with certain exceptions) have a limit of 20 partners. This prohibition on numbers of partners was originally introduced in the 19th Century to restrict the extent to which partnerships were open to abuse.

Companies, who are seeking more than 20 partners, have to set up parallel partnerships, a trustee or nominal partner or corporate partner. Such arrangements are costly and bureaucratic.

Explaining further, Rosaleen McMullan, Head of Companies Registry said: “We live in a business culture where many businesses seek value in exceeding the 20 Partner Limit in order to recruit new partners who can bring new investment or expertise to the company.

“Removing the 20 Partner Limit provides an important framework for the growth of sensible risk taking which is part and parcel of the entrepreneurial culture we need in Northern Ireland.

“The proposals to remove the 20 Partner Limit will also provide Northern Ireland companies with the same regulatory framework as operates in Great Britain.”

The Department has consulted widely on the Bill and responses are due by the 30 May 2003.

A copy of the consultation document (Proposals to Remove the 20 Partner Limit in Northern Ireland) is available on the Department of Enterprise, Trade and Investment website www.detini.gov.uk

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