Salaried Members: Condition B: Part of a business
The test in Condition B applies to the business as a whole.
If an individual runs part of the LLP, such as a specific branch or shop, but has no say in the business as a whole, then Condition B will be satisfied and the individual can be a Salaried Member.
This distinction is illustrated by the example below.
*ABC LLP carries on a financial services business with two divisions; tax and audit. Hank and Mitch run the audit division and Toni and Jo run the tax division. All four are members in the firm. The two divisions keep separate accounts. *
Above the two divisions is a management board consisting of Mitch, Toni and Frank.
Whether Condition B is met depends on all the arrangements.
In this case Mitch, Toni and Frank have influence over the business as a whole. They do not satisfy Condition B.
Hank and Jo only have influence over their own divisions. They satisfy Condition B.