We have the best business experts who can resolve all your queries
Step 1
Provide all the documents.Our team will initiate the paperwork on your behalf
Step 2
LLP Registration is completed and the certificates will be sent to you.
Step 3
Limited Liability Partnership (LLP) combines the benefits of a partnership with that of a limited liability company. In India, it took shape after January 2009 and was an instant success with startups and professional services. The idea behind LLP was to provide a form of business that is easy to maintain and benefits owners with limited liability.
Here are four major reasons why people tend to choose LLP as their business model:
The members of an LLP are only liable for a small amount of debt incurred by the firm. In case of bankruptcy, the personal assets of the partners will not be taken into account. On the other hand, for proprietorships and partnerships, the personal assets of directors and partners will be seized if the business goes bankrupt.
An LLP is a separate legal entity from the partners in it. It has an uninterrupted existence that follows perpetual succession, i.e., the partners might leave, but the business remains. The terms of dissolution have to be mutually agreed upon for the firm to dissolve.
Transferring the ownership of an LLP is also simple. A person can easily be inducted as DESIGNATE PARTNER IN LLP and the ownership is transferred to them.
LLPs having a capital amount of less than ?25 lakhs and turnover below ?40 lakhs per year do not require any formal audits. This makes registering as an LLP beneficial for small businesses and startups.
You can register LLP online through Legal Bharat Services. While we make LLP registration a simple 3-step process for you, the actual registration process is elaborate and is explained below for your knowledge:
All the forms that need to be submitted online require the directors’ DSC. So, the first step in the process is to get DSCs and DINs for 2 partners. We collect the necessary information from you and file it on your behalf.
Simultaneously, we check if the name you want to register under is available and reserve it for your LLP. You can check for name availability in the MCA portal.
The approval of the name will be made by the registrar only if the central government does not deem it undesirable. The name should not hold any resemblance to any of the existing partnership firms, LLPs, trademarks, or body corporates.
The next step is to draft the LLP agreement and other documents for registration. An LLP agreement is very crucial in a limited liability partnership as it determines the mutual rights and duties amongst the partners and between the LLP and the partners. Thus, our experts take utmost care in drafting this agreement.
The partners enter into the LLP agreement upon registering the LLP by filing Form 3 online on the MCA portal. This procedure has to be done within 30 days of the date of incorporation.
Our team will file the necessary forms and documents with the registrar. Once the registrar approves all the forms and documents, you get your LLP incorporation certificate and are almost set for running your business.
As soon as you get the incorporation certificate, we will apply for the PAN, TAN, and bank account for your LLP.
The following are included in the LBS LLP Registration in India package:
We also assist with the following to register an LLP company in India:
Types of LLP Agreements
The following are the main types of LLP agreements.
Equal Rights LLP –In such a type of LLP, all partners mutually work together they share equal profit or loss of the company. They contribute equal capital, time, and energy to the LLP. All the partners have the same rights and contribute equally to the management of the LLP.
Differential Rights LLP-In such type of LLP, it is opposite to equal rights LLP. They have different amounts of contribution in terms of capital, energy, and time. They have different profit-sharing, decision-making, and managerial rights.
Board Managed LLP-In such type of LLP, management is done by forming a board of partners similar to the board of directors in the company. The partners have the day-to-day managerial and operational, decision-making power rest in the hand of the board/committee of partners.
Husband & Wife LLP- In such a type of LLP if Husband and wife are running LLP, then a special agreement related to tax liability can be made so as to minimize the family tax liability. Besides, they can choose any of the LLPs according to their convenience.
Differential Rights and Differential Powers LLP-In such type of LLP, partners hold different rights and powers. Some may be just investing while others may be holding managerial responsibilities. In order to avoid miscommunication and conflict, the rights and power of partners must be well-defined and agreed on.
Absolute Rights LLP- In this type of LLP, there are only two partners, and one of them is appointed as the nominee or only as the investor then the LLP agreement will be drafted in such a way that one person will get all the management and decision making power.
Manager Managed LLP- In such a type of LLP, partners appoint the manager and give him powers related to the administration, management, and operations of the company. The role of the partner is limited as an investor and does not have any decision-making power on day to day activities of the company.
Documents of both partners, as well as the partnership firm, have to be submitted for registering the LLP.
ID Proof of Partners – All the partners are required to provide their PAN at the time of registering LLP. PAN card acts as a primary ID proof.
Address Proof of Partners – Partner can submit any one document out of Voter’s ID, Passport, Driver’s license, or Aadhar Card. The name and other details as per address proof and PAN card should be exactly the same. If the spelling of own name or father’s name or date of birth is different in the address proof and PAN card, it should be corrected before submitting to RoC.
Residence Proof of Partners – Latest bank statement, telephone bill, mobile bill, electricity bill, or gas bill should be submitted as residence proof. Such a bill or statement shouldn’t be more than 2 months old and must contain the name of the partner as mentioned in the PAN card.
Photograph – Partners should also provide their passport-size photograph, preferably on white background.
Passport (in case of Foreign Nationals/ NRIs) – For becoming a partner in Indian LLP, foreign nationals and NRIs have to submit their passport compulsorily. The passport has to be notarised or apostilled by the relevant authorities in the country of such foreign nationals and NRI, or else Indian Embassy situated in that country can also sign the documents.
Foreign Nationals or NRIs have to submit proof of address also which will be a driving license, bank statement, residence card, or any government-issued identity proof containing the address.
If the documents are in other than the English language, a notarised or apostilled translation copy will also be attached.
Proof of Registered Office Address
Proof of registered office has to be submitted during registration, or within 30 days of its incorporation.
If the registered office is taken on rent, a rent agreement and a no objection certificate from the landlord have to be submitted. No objection certificate will be the consent of the landlord to allow the LLP to use the place as a ‘registered office’.
Besides, anyone documents out of utility bills like gas, electricity, or telephone bill must be submitted. The bill should contain the complete address of the premise and the owner’s name and the document shouldn’t be older than 2 months.
One of the designated partners needs to opt for a digital signature certificate also since all documents and applications will be digitally signed by the authorized signatory.
Any individual, or even a company or an LLP, can become a partner. However, only an individual can become a ‘designated partner’ in an LLP.
Yes, the process for GST registration is online completely. You can do everything in the personalised dashboard we provide for you.
An LLP agreement is made between the partners and the LLP regarding the relationship between the individual partners in the LLP
A minimum of two designated partners are required to start an LLP. The designated partners are responsible for fulfilling all the essential requirements involved in starting and running an LLP