Limited Liability Partnership

Limited Liability Partnership (LLP)

Limited Liability Partnership (LLP) Registration is now the most preferred legal entity for Professionals and service providers owing to the flexibility it provides. It provides a combination of ‘Partnership’ and ‘Limited Company’ business structures.

In a Limited Liability Partnership (LLP), two or more partners form a partnership that gives the benefits of limited liability of a company and the flexibility(in terms of management & ownership) of a partnership. There should be a minimum of 2 designated partners for the LLP to be formed and they should obtain the Director Identification Number and Digital Signature for registration of the LLP. It is registered as per the compliance and regulatory guidelines of the Ministry of Corporate Affairs (MCA).

A Limited liability Partnership (LLP) is a new form of business introduced in the year 2009, this is a unique form of business in the sense that it has the simplicity of a partnership firm and the benefits of limited liability as in a limited corporation. Minimum two people can form an LLP with no maximum limit on the number of its partners. The advantage of The LLP form of business over a private limited is in the fact that there is less compliance requirement in comparison to a private limited company. For instance, an audit is not required till the time turnover reaches 40 lac or capital reached Rs. 25 lac. This is the preferred choice for small businesses with less capital

Minimum criteria for an LLP registration

• Minimum of 2 partners
• LLP can start its business immediately after the issue of Certificate of Incorporation.
• Registered office in India.
• At least one designated partner as an Indian resident in case of involvement of foreign nationals.
• DPIN (Designated Partner Identification Number) for all partners.
• DSC for all Partners.
• Minor cannot be a partner

Documents Required for LLP Registration:

• Copy of PAN Card of partners
• Passport size photograph of partners
• Copy of Aadhaar Card/ Voter identity card
• Copy of Rent agreement (If rented property)
• Electricity/ Water bill (Business Place)
• Copy of Property papers (If owned property)
• Landlord NOC (Format will be provided)

The LLP registration procedure approximately takes 12-15 working days, depending on the replies from the ROC department to complete the Limited Liability Partnership Registration procedure