70. … but a corporate entity with a legal personality independent of its members..... 06/06/09
71. … and limited liability, so members cannot lose more than they put in..... 06/06/09
72. … and...errr...that’s it ...there isn’t even a requirement for a written LLP agreement... 06/06/09
73. … which is why I call it an “Open” Corporate.. 06/06/09
74. … and it is being put to some very interesting uses... 06/06/09
75. Capital Partnership - Hilton Deal 2002 Capital Partnership LLP 10 UK Hotels Gross Revenues Hilton Group Capital User Consortium LLP Capital Provider Bank Property Developer Hotel Specialist % % % % % 06/06/09
76. The Hilton Deal was the first example I have seen of a “Capital Partnership”... 06/06/09
77. ...which I believe may perhaps be an optimal enterprise model - as follows.. 06/06/09
78. Firstly, ownership of productive assets is transferred to a “Custodian”.... Assets Custodian Ownership 06/06/09
79. … then Investors put in Financial Capital in money, or “money’s worth”… 06/06/09 Assets Investors Custodian Ownership Financial Capital
80. … Managers put in Human Capital of time, expertise and experience.... Assets Investors Managers Custodian Ownership Human Capital Financial Capital 06/06/09
81. … and Users pay for the use of this Capital… Assets Investors Users Payment Managers % % Custodian Use 06/06/09
82. … resulting in a “Capital Partnership” Assets Investors Users Managers Custodian 06/06/09
122. ....while the Developer invests “Intellectual Capital” of concept and services... Land Investors Land-owner, Council, Contractors, Risk Takers Developer Custodian Value Value 06/06/09
123. When the development is occupied... Houses Investors Occupiers Custodian % % Rental 06/06/09 Managers