Creditor approval governs LLP winding up, enabling partners, creditors, or Tribunal-initiated winding up based on creditor consent.

An LLP with creditors must, before winding up, send creditors a declaration, estimated claim amounts and an offer to accept claims; creditors must respond within thirty days. If creditors of sufficient value consent, they may direct voluntary winding up by partners, voluntary winding up by creditors if repayment in full is unlikely, or prompt the LLP to apply to the Tribunal for winding up; payment to creditors to their satisfaction removes clauses addressing inability to pay. The LLP must notify the Registrar of the creditors' decision in the prescribed Form within fifteen days of consent.

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