A LLP is an evolved version of a traditional partnership firm where the business is given a corporate suit and unlike the traditional partnership firm the liability each partner is restricted to the amount to contribution as promised by him in the LLP agreement. A LLP is governed by the provisions of Limited Liability Partnership Act, 2008. Its enjoys the privilege of a legal individual corporate entity like perpetual succession, own properties on its own name, capacity to sue and be sued, etc.
Who can Form?
2 or more major Individuals.
NO MINIMUM CAPITAL REQUIRED
|Passport size photographs|
|ID Proof : Adhar Card / Driving License / Voter ID Card / Passport|
|Address Proof : Bank Statement / Electricity Bill/ Telephone Bill|
|Electricity Bill of the proposed Registered Office.|
|Rent Deed/ Lease Deed / NOC of Owner of the Registered Office premises.|
Pancard and ID proofs are to be submitted with Bankers attestation as well as a self attested.
|Capacity to sue|
|Preferred by Investors for findings|
|Preferred by banks for loan considerations|
|No Restriction on maximum Number of members.|
|8 -15 Days.|
( All inclusive )
What All it includes
|Drafting of LLP Agreement and other documents.|
|Govt Fee and Stamp Duty|
|Certificate of Incorporation|
How it works?
Caparison between Partnership, LLP & Company
|Partnership is governed by ‘The Indian Partnership Act, 1932’ and various Rules made there under.||Limited Liability Partnership are governed by ‘The Limited Liability Partnership Act, 2008’ and various Rules made there under.||Companies are governed by ‘Companies Act, 2013’.|
Registration of Business
|Registration with Registrar of Firms is optional.||Registration with Registrar of LLPs required.||Registration with Registrar of Companies required.|
|Funding||Cannot raise capital from VCs and PE firms.||Cannot raise capital from VCs and PE firms.||Can raise capital from VCs and PE firms. Further the Public Limited companies can also raise funds from people.|
|It does not have perpetual succession as this depends upon the will of partners.||It has perpetual succession and partners may come and go.||It has perpetual succession and members may come. and go|
Number of Members
|Minimum 2 and Maximum 20.||Minimum 2 partners and there is no limitation of maximum number of partners.||2 to 200 members in case of Private Company and Minimum 7 members in case of Public Company.|
Liability of Partners/Members
|Unlimited. Partners are severally and jointly liable for actions of other partners and the firm and liability extend to their personal assets.||Limited, to the extent their contribution towards LLP, except in case of intentional fraud or wrongful act of omission or commission by the partner.||Generally limited to the amount required to be paid up on each share.|
|Income of Partnership is taxed at a Flat rate of 30% plus education cess as applicable.||Income of LLP is taxed at a Flat rate of 30% plus education cess as applicable.||Income of Company is Taxed at a Flat rate of 30% Plus surcharge as applicable.|
|By agreement, mutual consent, insolvency, certain contingencies, and by court order.||Voluntary or by order of National Company Law Tribunal.||Voluntary or by order of National Company Law Tribunal|
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TaxSkill.com offers online Limited Liability Partnership (LLP) Registration at most affordable price by helping you with online Limited Liability Partnership (LLP) Deed drafting and online Limited Liability Partnership (LLP) Registration. Let us first understand what is Partnership form of business before you start with online Limited Liability Partnership (LLP) Registration. A Limited Liability Partnership (LLP) is a hybrid of Traditional Partnership firm and a Corporate Entity introduced to encourage entrepreneurship and professionalism. In the matters of functioning and Taxation , a Limited Liability Partnership (LLP) is same as a normal Partnership Firm registered under the provisions of Indian Partnership Act,1932 with addition of some compliances of documents to be filed with the Registrar of Companies (ROC) from time to time. Regulations relating to Limited Liability Partnerships in India are governed by Limited Liability Partnership Act, 2008 . A Limited Liability Partnership (LLP) restricts the liability of each and all partners to the amount mentioned in the Limited Liability Partnership (LLP) Deed. A Limited Liability Partnership (LLP) is separate from its partner and has the feature of perpetual succession similar to a Private Limited or Public Limited Company. Unlike a traditional partnership , a Limited Liability Partnership (LLP) can have more than 20 partners.
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