LLP Incorporation
Ideal for Small and Medium Sized business
It just Takes 7 to 10 business days, subject to Government processing time.
What is LLP Incorporation Overview
- LLP is an alternative corporate business form that gives the benefits of limited liability of a company and the flexibility of a partnership.
- LLP can continue its existence irrespective of changes in partners. It is capable of entering into contracts and holding property in its own name.
- LLP is a separate legal entity, is liable to the full extent of its assets but liability of the partners is limited to their agreed contribution in the LLP.
- Further, no partner is liable on account of the independent or un-authorized actions of other partners, thus individual partners are shielded from joint liability created by another partner’s wrongful business decisions or misconduct.
- Mutual rights and duties of the partners within a LLP are governed by an agreement between the partners or between the partners and the LLP as the case may be. The LLP, however, is not relieved of the liability for its other obligations as a separate entity.
- Since LLP contains elements of both ‘a corporate structure’ as well as ‘a partnership firm structure’ LLP is called a hybrid between a company and a partnership
Documents Required For LLP Incorporation
- Copy of PAN Card of partners
- Passport size photograph of partners
- Copy of Aadhaar Card/ Voter identity card/ Driver’s license as Identity proof
- Electricity/ Water bill/ Telphone bill/ Latest bank statement as proof of Residential Address
- Copy of Sale Deed/Property Deed (If owned property)
- NOC from Landlord/ Property Owner (Format will be provided)
- Passport (in case of Foreign Nationals/ NRIs)
- Digital Signature Certificate
- Copy of Notarized Rental Agreement
- Utility Bill of Registered Office
- Required Email ID and Mobile No.
Benefits Of LLP Incorporation
- Limited Liability Protection to Designated Partner Personal Assets
- Separate Legal Existence & Operational Flexibility
- Better image and credibility in the Market
- No Audit Requirement & Minimal Compliances
- Suitable For Small Business.
Checklist /Minimum requirement for LLP Incorporation
- Minimum 2 Partners
- If a body corporate is a Partner, it has to nominate a natural person as its Nominee.
- There is no concept of share capital, but each Partner has to contribute towards capital of LLP.
- DIN (Director Identification Number) for all the Designated Partners.
- DSC (Digital Signature Certificate) for all the Designated Partners.
- Address proof for office of LLP.
FAQ (Frequently Asked Question)
Ans: At least two partners are required to form an LLP.
Yes, an LLP can be converted into a company by following the prescribed procedures.
An LLP agreement is a legal document that defines the rights, duties, and responsibilities of the partners and the management of the LLP.
Ans: Some of the benefits of registering as an LLP include limited liability, separate legal entity status, flexibility in management, easy to set up, tax benefits, less compliance requirements, transferability of ownership, access to funding, and credibility and brand image.
After filling the above-mentioned incorporation documents online, the concerned Registrar of Companies (“ROC”) examines all documents. In case the documents are found in order, the concerned ROC issues a Certificate of Incorporation (“COI”)
Ans: Yes, it is mandatory to have a registered office for an LLP, and the address proof of the registered office must be provided at the time of registration.
Ans: Yes, an LLP can have foreign partners, subject to the rules and regulations of the country where the LLP is registered.
Ans: The process of LLP registration involves obtaining Digital Signature Certificates (DSC) and Designated Partner Identification Number (DPIN) for all designated partners, choosing a unique name for the LLP and applying for name reservation, drafting an LLP agreement, filing the incorporation documents with the Registrar of Companies (ROC), paying the prescribed fees, obtaining the Certificate of Incorporation, opening a bank account for the LLP, obtaining a PAN and TAN, and registering for GST if applicable.
Ans: The mandatory requirements for LLP registration may vary from country to country, but some common requirements include having at least two designated partners, obtaining a DSC and DPIN, drafting an LLP agreement, providing address proof of the registered office, paying the prescribed fees, and obtaining the Certificate of Incorporation.