Limited Liability Partnership (LLP) is an easy to maintain business structure compared to Proprietorship. The main advantage of converting from proprietorship to LLP is that the proprietor will get partners to share the responsibilities and financials hence helps the business to reach new milestones. A LLP structure of business associates the benefits of both of the Partnership and Company. Conversion from Proprietorship to LLP will be a wise decision. As per LLP act, 2008 – one partner is not responsible or liable for another partner’s misconduct or negligence. Being an entity with separate legal existence, personal assets of partners of LLP are protected from debts of the firm to the extent of the capital share subscribed. With all these reasons, LLP is the most preferred business structure by professionals, Micro and Small businesses that are family owned or closely-held.
A Limited Liability Partnership (LLP) has a separate legal identity than of its partners and it is governed by the LLP act 2008. As LLP is a separate legal entity, it can take legal actions, own assets and borrow funds in its name itself where as a partnership firm can’t do the above in its own identity. A proprietorship has the identity of the proprietor and hence limited business opportunities.Show Less
In a Limited Liability Partnership, the liability of the partners is extent to the capital contribution subscribed. Personal assets of the partners of a LLP are protected in case of loss or debt or even while the dissolution of LLP. A partner of the LLP is not held responsible for the actions of negligence or misconduct of any other partner.Show Less
A Limited Liability Partnership firm is managed and run according to LLP agreement, with which the partners decide the functions of business, subscription of capital share, division of profit share, division of duties and responsibilities. LLP is a very flexible structure and the partners are free to create their own rules of management which is not possible in other business structures.Show Less
A LLP requires lower compliances compared to a Private Limited Company. Audit report is not mandatory for LLPs until it reaches certain level of turnover. Company compliances like board meeting, statutory meeting etc. do not applicable for LLP. Professional service charges are cheaper to maintain compliances for a LLP over a Private Limited Company.Show Less
PAN Card of all Partners
Passport is necessary in case of any foreign nationals
Aadhaar/ Voter ID/ Passport/ Driving License of all partners
Latest passport size photograph of all partners
Electricity Bill/ Telephone Bill of the office address
NOC from the Owner of Office Buliding (If the proposed registered office premises is rented)
Rental agreement of the registered office if the office is rented
In case the partnership firm is registered with Registrar of Firms (RoF) or any other kinds of government registration such as GST or MSME etc.,
If any partner of the LLP is a foreign citizen, documents of that partner should be notarized or apostilled.
Identification plays an important role in making a business outstand in competitive market, build unique and distinctive name for your business hence enhance your brand’s trust and value. Consumers should identify activity of your business from the brand name so that they can relate your business with its offerings.
Even though it meets all the above criteria, once again make sure that the brand name to be short, easy to remember and simple to pronounce or spell.
The name of a registered Limited Liability Partnership must end with LLP or Limited Liability Partnership as suffix. (Example: ABC CONSTRUCTIONS LLP)
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All it takes 15 – 20 Working Days*.
*Subjected to Government Processing Time