Thanks Sam, I did check this with the US accountant when he told me that I would be taxed in the US as this didn't sound right, especially when I live in the UK and am a UK citizen.
He advised that my taxes due would be held by the company to then be paid to the IRS through submitting an annual US tax return.
He said of the LLC that is formed....that 'A partnership must file an annual information return to report the income, deductions, gains, losses, etc., from its operations, but it does not pay income tax. Instead, it "passes through" any profits or losses to its partners. Each partner includes his or her share of the partnership's income or loss on his or her tax return.
This would be a US partnership so yes, all partners are subject to US tax and reporting on their share.
The tax is withheld by the partnership (whoever does the accounting). He has to get a tax number (an ITIN).
It does not matter that he is not a US citizen. An ITIN is for those that have a US tax reporting obligation but cannot be issued an SSN.'
So from what you have advised, I will be able to complete a W8EN form to have tax exempt and pay UK tax instead?