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OFFICIAL PORTAL FOR LIMITED LIABILITY PARTNERSHIP (LLP) REGISTRATION

LIMITED LIABILITY PARTNERSHIP (LLP) APPLICATION FORM

READ THE INSTRUCTION TO FILL APPLICATION FORM FOR LIMITED LIABILITY PARTNERSHIP (LLP)

APPLICANTS ARE ADVISED TO ENTER HIS/HER NAME, SAME AS AADHAR CARD.
ENTER THE APPLICANT’S 10-DIGITS MOBILE NUMBER. DO NOT INCLUDE COUNTRY CODE.
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ENTER THE APPLICANT’S COMPLETE ADDRESS.
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We are in an age where more and more startups are evolving and expanding. As more people are taking up entrepreneurship roles, the present rigid structure of the companies might become too much for them to manage. Due to this growing demand, there is a need for a more flexible structure where companies can thrive properly.

What is meant by a Limited Liability Partnership Company?

Limited Liability Partnership companies are a great combination of private companies and Partnership firms. Their business structure is a derivative of the benefits of the Private and the Partnership companies and is much suitable when it comes to the ease of business doing. The LLPs serve as an alternative business entity and function by mutual agreement between the partners. However, any single partner cannot be held accountable for the poor conduct or negligence of the other partners.

Structure of LLP

Limited Liability companies provide more protection to the partners and there is no liability on them. These firms make the partners immune from facing any personal liability in cases of debts, misconduct, or any wrongful acts, and the owners are held liable only up to their investments.

Requirements of LLP Registration

The formation of a Limited Liability Partnership firm, the following requirements help:-

  • ⦿ For starting an LLP firm, a minimum of 2 partners are required.
  • ⦿ All the partners must have a valid Digital Signature Certificate.
  • ⦿ Digital PIn Identification Number of all the partners.
  • ⦿ Minimum paid-up capital by the partners.
  • ⦿ LLP agreement between the partners.
  • ⦿ Proof of the registered office of the company.

How to Register a Limited Liability Company Online With FilingLounge?

  • ⦿ To register a Limited Liability Partnership firm, visit the website https://filinglounge.com/ and under the Business formation tab, select Limited Liability Partnership(LLP) from the drop-down menu.
  • ⦿ Next, fill in all the basic details (Name, Mobile Number, email id, Address, state) which are given on the registration form and click on the Submit button.
  • ⦿ Thereafter, you will receive a call shortly from our executives to carry forward with the application process.
  • ⦿ We, at the filing lounge, charge a nominal fee and all you have to do is sit back and relax and everything is done on your behalf by our team of experienced professionals.

Documents Required for LLP Registration

  • ⦿ ID proof of the Partners- Pan card/ Aadhar card/ Driving license/ Voter ID card
  • ⦿ Bank account statement- Bank account statement not older than 3 months
  • ⦿ For the address proof of the office-
    • NOC from the landlord
    • Any utility bill such as electricity bill/ water bill/ gas/ telephone bill has the bearer’s name and address on it and is not older than 2 months.

Advantages of A Limited Liability Firm

  • ⦿ LLPs are flexible- Limited Liability firms come with various flexibility options when it comes to tax payment. The income is taxed at the individual level and not at the company level. If the member chooses to be taxed as a partnership, the income gets described among the members. This type of flexibility is the characteristic feature of LLPs.
  • ⦿ LLPs are organized- These partnership firms are better organized as well as structured and operate as an agreement between its members.
  • ⦿ Easy to incorporate- Limited Liability Partnership firms have quite a lower cost of incorporation and are easily formed too.
  • ⦿ Protection to the partners- Limited Liability Partnership firms operate as a separate entity and they assure their partners that they, personally, would not be held responsible for any debts or misdeeds of the other partners or any mishaps in the business.
  • ⦿ No specific minimum capital- LLPs are quite beneficial to the extent that they don't require a specific amount as the paid-up capital. The owners have the freedom to choose from which amount they want to start.
  • ⦿ LLPs are freer in their operations- When it comes to the legal side, the LLPs are imposed with lesser restrictions and don't have to abide by the compliances.
  • ⦿ No mandatory audit- LLPs have this biggest advantage that they don't need to get an audit done necessarily. LLPs need to get the company accounts checked only-
    When the capital exceeds Rs. 25 lakhs, or,
    When the annual turnover exceeds Rs. 40 lakhs
  • ⦿ No restriction on the number of partners-Although LLPs need to be formed with a minimum of 2 partners, there is no specification on the maximum number of partners it can have.
  • ⦿ LLP is the sole entity- Although LLPs need to be formed with a minimum of 2 partners, there is no specification on the maximum number of partners it can have.

What Is The Difference Between a Limited Liability Partnership Firm and a Traditional Partnership Firm?

  • ⦿ A partnership is a joint venture of people for earning profit and is owned either by one or all the partners whereas an LLP is a joint body comprising the features of a partnership firm as well as a corporate body.
  • ⦿ Traditional Partnership firms follow the regulations of the Indian Partnership Act,1932 while LLPs are managed by the Limited Liability Partnership Act, 2008.
  • ⦿ The partnership firm is guided by the partnership deed while an LLP agreement is called a charter document.
  • ⦿ Traditional partnership firms have to bear the burden of unlimited liability on the partners while LLPs come with a limit on the partners' personal liability.
  • ⦿ LLPs follow the policy of perpetual succession while Partnership firms can be discontinued at any time.

Conclusion

Limited Liability firms are indeed life saviors if you are willing to get into an agreement-based business. Filing Lounge is an excellent portal. if you are want regular update, follow our Facebook page for more information on different kinds of businesses.

Frequently Asked Questions On Limited Liability Partnership Firms

1. Which other countries follow the LLP structure?

LLPs are famous in countries like the United Kingdom, United States of America, Australia, Singapore, and Gulf nations.

2. Is LLP diferent from a company?

Yes, LLPs are more flexible and have lesser requirements than joint stock companies. Also, the LLPs are managed and governed by the partnership agreement among the partners while joint companies are regulated by the Companies Act, 1956.

3. Can people of foreign origin constitute an LLp?

Yes, people of foeign origin including foreign nationals or companies can form an LLP in India on one condition that one of the partners should be an Indian National.

4. What happens if the minimum number of partners is reduced?

If by any means, the minimum number of partners falls below two,and the business still continues for further six months, ten the single person or the owner shall be held accountable for any obligations.

5. Can an LLP file for an annual return?

Annual returns must be filed dby LLPs in Form 11 with the Registrar of companies(ROC) within 60 days of the closure of a financial year. The returns will be available for public inspection only after deposition of the specified fee with the ROC.

6. How can a partner cease to be one in an LLP?

Any existing partner can cease to continue with the firm by giving a prior notice to the ROC before 30 days. However, the person can cease to discontinue hs partnership in the following cases-

  • On his death or discontinuation of the LLP’
  • If the person is declared incapable of managing business by a court
  • If he has been declared bankrupt
7. Can an existing company be converted into LLp?

Yes, definitely. By complying with the provisions of Clause 58 and Schedule III and IV of the LLP Act, an existing company may be converted to an LLP. Also, Form 18 and Form 2 need to be filled up too.

8. What suffix is added to LLP firms?

LLP firms have to add the suffix “Limited Liability Partnership”

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