What is an LLP?
A Limited Liability Partnership Organization is a corporate business structure that does not burden the partners with an unlimited liability and there is no restriction on the number of partners. An LLP Company enjoys a separate legal entity in the public where it continues to exist regardless in the partners count or even if all the partners do not exist. An LLP Company can come into contracts and hold property of any type in its name. The partners are required to come into a contract with LLP to work efficiently, an agreement shield the mutual rights and regulations of both the partners as well as the LLP, but the LLP still has the power to take decisions since it is a separate entity.
How to Register an LLP Company in India?
Our Registration Process
Verify the necessary documents for registration
DPIN for all Partners
Obtain Partner Identification Number
DSC for 2 Partners
(Valid for 1 year)
Obtain Digital Signature Certificate
(4 Options allowed)
Submit name choices for approval
Register the chosen company name
LLP Deed Drafting & Execution
Drafting of partnership deed & execution
Complete the company registration process
Issue partnership certificates to shareholders
NOTE : If DSC is required for more than 2 Partners then per DSC Charges shall be applicable.
Fill the Form to Get Your Quote(Payable in installments)
Benefits of Registering an LLP Company
Separate Legal Identity of the Company
Limited Liabilities Company Registration gives separate Legal identity to the Organization
Limited Liabilities on partners
Limited Liabilities on partners as personal & company assets are considered separately.
Liberty to have International Partners
LLP gives liberty to have international partners, only partner is required to be an Indian Citizen.
No Minimum Capital is Required
For LLP Formation and Registeration, you don't required any minimum capital .
Detailed Comparision Between Types Of Companies in India
Detailed Comparision Between Types Of Companies in India
|Act||The Company Act 2013||The Company Act 2013||The LLP Act 2008|
|Minimum Number of Directors/Partners||At least 2 Directors Required||At least 1 Directors Required||Minimum 2 Partners will be required|
|Maximum Number of Directors/Partners||Maximum 15 Directors a Company Can Have||Maximum 15 Directors a Company Can Have||No Limit|
|Maximum Members/Shareholders||Maximum 200 Members/Shareholders are allowed||Only One||No Limit|
|Authorized Capital||Minimum 1 Lakh||Minimum 1 Lakh||No Minimum Capital Required|
|Eligibility Criteria||Any Person May Form a Private Limited Company, but any of them should be an Indian Resident||A Person who is Resident of India||Any two Person who is Major and at least one of them must be an Indian Resident|
|Put After Name||Pvt Ltd||OCP||LLP|
|Liability of Shareholders/Partners||Shareholder’s Liability is Limited to their Allotted Capital||Liability is Limited to Member’s Capital||Liability of Partners is Limited to their Agreed Contribution|
|Any Changes in Business||Filling Form 32 with ROC||Filling Form INC-4 with ROC||Filling Form 3 with ROC|
|Existence||A Private Limited Company has a Perpetual Succession since any changes will not affect its existence.||A Private Limited Company has a Perpetual Succession since any changes will not affect its existence.||A LLP Company has a Perpetual Succession since any changes will not affect its existence.|
|Transfer of Ownership||Can Transfer Ownership by Transferring Share||Can Transfer Ownership||LLP Ownership is Wholly or Partly Transferable.|
|Business Conversion||Can Be Converted into LLP, OPC or LTD||Can be Converted into LLP or PVT LTD||LLP Can be Converted into Company|
|Maintaining Books of Accounts||Mandatory||Mandatory||Mandatory|
|Maintaining Books of Statutory Records||Mandatory||Mandatory||Mandatory|
|Provision for Public Deposit||Sec. 73 of The Company Act 2013||Sec. 73 of The Company Act 2013||No Provision|
|Provision for Loan to Directors||Sec. 185 of The Company Act 2013||Sec. 185 of The Company Act 2013||No Provision|
|Board/Partners Meeting||First Meeting should be held within 30 Days from Incorporation, After First Meeting Minimum 4 Meeting in a Calendar year Should be Hold.||NA||Not Required|
|Statutory Audit||Mandatory||Mandatory||In Case Turnover is More than 40 Lakh or Partners Contribution Exceeds 25 Lakh.|
|Internal Audit||Companies Having Turnover of 200 Crore are applicable for Internal Audit||NA||NA|
|Income Tax Audit||Turnover above 1CR||Turnover above 1CR||Turnover above 1CR|
|Income Tax Rate||25%||25%||30%|
|Income Tax Return||ITR-6||ITR-6||ITR-5|
Frequently Asked Questions (FAQs)
In India, the Limited Liability Partnership (LLP) idea was first presented in 2008. The LLPs in India are governed by the Limited Liability Partnership Act, 2008. Incorporation of an LLP requires a minimum of two partners. However, a LLP may have an unlimited number of partners as well as the limited liabilities which are enjoyed by the shareholders. A Limited Liability Partnership has a separate corporate business entity and gives the benefit of flexibility in partnership as well.
It will generally take 5-6 working days for LLP firm registration.
The documents required for Limited Liability Partnership Registration are as follows:
- Pan Card of the Directors
- Passport of the Directors
- Voter ID Card of the Directors
- Driving License
- Electricity Bill
- Telephone/mobile Bill
- Adhaar Card of the Directors
- Bank Statement of the Directors
- Passport Size Photo
- Ration Card
- Recent Utility Bill (For business purpose)
You will get a registration certificate that will notify that your firm is successfully registered.
It is a written document which discusses all the duties and responsibilities amongst the partners and also the nature of the business.
The advantages are as follows:
- No minimum capital contribution is required.
- Limited Liability.
- No partners can be unlimited.
- Perpetual Succession.
- The employees enjoy flexibility in work.
- Partners are not liable to pay taxes on their total Revenue.
- Can be dissolved easily.
- Separate legal entity.
According to Section 366 of the Companies Act, 2013 and Company (Authorized to Register) Rules, 2014 says that a Limited Liability Partnership company can be converted into a Private Limited Company. For the businessmen who convert their company from LLP to Pvt Ltd their major objective is to raise the growth of the company.
Liability of a partner in LLP is very limited, in the case of bankruptcy the institution is only allowed to seize the assets which are registered by the business and no personal assets are harmed.