1.Limited
Liability
In a Limited Liability Partnership (LLP), no single partner is
responsible for the misconduct of another partner. The personal liability of
any individual partner arising from any incompetence is limited only to the
cash contributions made by that partner.
2.Reasonable Formation Costs
The cost of
incorporating an LLP is much lesser compared to a private or a
public company. The cost of Limited
Liability Partnership online registration is also very
reasonable.
3.Relaxed Statutory Compliances
The statutory compliances for an LLP are more relaxed compared
to private limited companies. It makes it easier for entrepreneurs to
concentrate on their business than on compliance formalities.
4.Relaxed Auditing Forms
An LLP firm is not required to legally audit its books unless
the annual turnover is above Rs. 40 lakhs.
5.Unlimited Registered Partners
You can have any number of partners in an LLP company. It helps in
the division of liabilities, so each partner only has to carry a limited
burden. Public companies can also be partners with an LLP.
6.Relaxed Regulations
When compared to a private company, LLP has minimal government
intervention and compliances to follow.
7.Simple to Dissolve
The dissolution of an LLP is much simpler as there are fewer
procedures involved. It can either be done voluntarily or by Order of the
National Company Law Tribunal or by declaring the LLP as defunct.
8.No Minimum Capital Contribution Norms
There is no mandatory capital requirement on the minimum capital
contribution by partner
Why LLP??
LLP has now come up as one of the most preferred legal entities for
Professionals as well as service organizations owing to the flexibility
attached under the Limited Liability Partnership Act. There is flexibility concerning the structuring of management and ownership as well as a lesser number
of compliances as compared to a private limited company. There should be a
minimum number of 2 Designated Partners for any LLP and they should procure
Director Identification Number and Digital Signature for registration of the
LLP. LLP registration normally is more time consuming as compared to a private
limited Company.
Documents Required for LLP registration in
You need to have the following set of documents before
a proceeding for registration:
·
Self-attested PAN card copy of proposed Designated Partners
·
Self-attested Address Proof of Proposed Designated Partners
(Passport or Driving Licence or Voters ID or Aadhar Card)
·
Self-attested Latest Bank Statement or Mobile Bill or Gas (Not
older than 2 months)
·
Address proof of the proposed Registered Office
(electricity bill or Landline or Gas Bill and It can be a residential property)
and rental agreement
·
No Objection (NOC) from the person who owns the property
mentioned above (we will prepare)
·
2 passport size photos of proposed Designated Partners LLP
Incorporation Process
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