Limited Liability Partnership
Limited Liability Partnership (LLP) is a business structure which combines the benefits of a Private Limited Company and Partnership firm. While LLP enjoys the Private Limited Company’s characteristics of having separate legal status and limited liability, it retains the tax structure which is applicable to a Partnership firm. It is created and registered under the Limited Liability Partnership Act, 2008. It will have perpetual succession.
Every LLP requires Minimum 2 Individual Partners to act as Designated Partners and at least one of them has to be resident of India. There is no limit on maximum number of partners in LLP. LLP Agreement governs the mutual rights and duties of partners and also the dealings between partner and LLP and also among the partners.
In LLP, there is no concept of Share Capital like a company / corporation but there has to be some contribution from partner for the formation of an LLP which is known as Partner’s capital. There is no minimum requirement of capital for registering LLP. The amount of capital can be mutually decided by partners in their LLP agreement in their own decided ratio. This makes it ideal for a small and medium size businesses to operate as LLP since it is simple and cost-effective to maintain.
All partners in LLP have limited liability like Private Limited Company and unlike partnership firm. No partner shall be liable for any action or deeds done by another partner beyond the amount they would have already contributed in LLP as their capital.
Tax Vyapar will help you in forming / registering your LLP and other related formalities as well as in complying with every other annual and monthly law and regulations required to be complied.
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Our Pricing
Basic
LLP Registration-
2 Digital Signature Certificate (DSC)
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2 Director Identification Number (DIN)
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Incorporation Fees
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Stamp Duty *
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LLP Incorporation Certificate
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LLP Agreement
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PAN
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TAN
Standard
with GST Registration-
2 Digital Signature Certificate (DSC)
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2 Director Identification Number (DIN)
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Incorporation Fees
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Stamp Duty *
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LLP Incorporation Certificate
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LLP Agreement
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PAN
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TAN
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Udyog Aadhar (Udyam Registration)
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GST
Premium
with Trademark Registration-
2 Digital Signature Certificate (DSC)
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2 Director Identification Number (DIN)
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Incorporation Fees
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Stamp Duty *
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LLP Incorporation Certificate
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LLP Agreement
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PAN
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TAN
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Udyog Aadhar (Udyam Registration)
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GST
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Importer Exporter Code (IEC)
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Trademark Registration (one class one application)
* Upto Rs. 50,000 capital contribution Â
Note:
- Digital Signature Certificate (DSC) includes Class 2 digital signatures with 2 year validity on secure USB token.
- DSC for more than 2 Designated Partners will cost Rs.2500/- per Designated Partner.
- Trademark Registration includes filing of application Form TM-A only. After which, if no objection is received, the trademark will be accepted and registered.
LLP Name Availability
The first step in LLP Registration is to ensure that the desired LLP name has not already been taken by another LLP or legal entity.
To check if a LLP with your desired name exists, click the following link, and run LLP name search in the Ministry of Corporate Affairs (MCA) database:
Additionally, it should be ensured that the desired name has not been trademarked by anyone else. If it has been trademarked, you would need to obtain a no-objection certificate (NOC) from its owner saying he has no objection if you use the desired name as your LLP name. Once the NOC is furnished to the MCA, only thereafter it will be approved as your LLP’s name.
Click the following link to check if a trademark already exists against your desired name:
Features & Advantages
Limited Liability
Partners have limited liability and hence are not liable for any action of another partner beyond the amount they would have already contributed in LLP as their capital.
Separate Legal Identity
Once incorporated, a LLP has its own legal entity which is separate from its partner. Accordingly, the LLP can sue and can be sued in its own name.
Perpetual Existence
Since LLP has its separate legal identity, it existence is not dependent on the existence of any other person and thus has perpetual existence.
Less Compliance
As compared to a company, LLP need to comply with lesser regulations and thus cost associated with it is also less.
Flexible transfer of ownership
Change in ownership is not a taxable as well as cumbersome process. Any partner can enter & exit LLP whenever he wants, subject to LLP Agreement clauses.
Eligible for Startup India Scheme registration
Only Private Limited company & LLP are eligible to be registered under the Startup India Scheme and claim Tax deduction under section 80IAC.
Types of Business Entities
Compare different types of business structures available to determine which suits you the best
- Number of Person
- Governing Act
- Registration requirement
- Liability
- Separate Legal entity
- Perpetual Existence
- Statutory Compliances*
- Statutory Audit*
- Tax Rates
- Tax on profits/ dividend distributed
- Recommended For
* Extent of Tax compliances and requirement for Tax Audit is same for all business structures, the above details pertain to compliance and audit requirement under their respective statues.
** Applicable when turnover exceeds INR 40 Lakh or contribution exceeds INR 25 Lakh
Registration (Incorporation) Process
Registration of a Limited Liability Partnership in India is completely an online process through LLP Incorporation form ‘Form FiLLiP‘. Hence, incorporating an LLP is easy .
Summarily, for an LLP to be incorporated the following tasks are to be completed:
- Apply for and obtain DSC
- Apply for and obtain DIN/ DPIN
- Obtain approval / Reserve name of the LLP to be incorporated
- Fill online form along with attachments on the MCA website
- Obtain LLP Certificate of Incorporation from RoC
- Drafting of LLP Agreement
- Filing of LLP Agreement
- Apply for PAN and TAN of LLPÂ
- Obtain PAN and TAN
How we do it !
- Fill our simple checklist of Information required
- Send all documents
- Checking Name availability with MCA & Trademark database
- Obtaining DSC
- Preparation of all legal documents
- Fill and upload Form on MCA website
- Receipt of LLP Incorporation Certificate
- Drafting LLP Agreement
- Filing of LLP Agreement
- Apply for PAN & TAN
- Obtain PAN & TAN
Time Frame
To register LLP
After we receive all the information and documents required
Drafting & Filing LLP Agreement
Must be filled within 30 days from date of incorporation but we'll do it asap
Obtaining PAN & TAN
Time taken by department from the date of application
GST Registration
Can be applied only after PAN is allotted
Information Required
General LLP Details
- Proposed Name of LLP
- Significance of LLP Name
- Objects of LLP
- Contribution requirement *
Partners/ Designated Partners' Details
- Name of Partners/ Designated Partners
- Email Id
- Mobile No.
- Who will be Designated Partners (atleast 2 required)
* There is no minimum requirement for contribution.
Documents Required
Relating to ALL PARTNERS
- Photograph passport-size
- PAN Card of Indian Partners
- Aadhar Card of Indian Partners
- Passport of Foreign Partners
- Any one Proof of identity (Passport / Driving License/ Voters ID)
- Any one Proof of address (Telephone Bill/ Electricity Bill/ Mobile Bill / Bank Statement) *
Relating to REGISTERED PLACE OF BUSINESS
If Rented:
- Rent Agreement / Lease Deed
- Electricity bill *
- No Objection Certificate (NOC) from landlord / owner
If Owned:
- Purchase Agreement / Sale Deed
- Electricity bill *
* Recent bill/ statement (last 1-2 months)
Deliverables
What will you get at the end of LLP Registration / Incorporation process !
- DSC for 2 Designated Partners
- DIN / DPIN for 2 Designated Partners
- PAN Card
- TAN allotment letter
- LLP Incorporation Certificate
- LLP Agreement
- GST Certificate - Standard & Premium Package
- Udhyog Aadhar (Udyam Registration) - Standard & Premium Packages
- IEC Certificate - Premium Package
- Application filed for Trademark Registration - Premium Package
Kick start your Limited Liability Partnership 🚀
Frequently Asked Questions (FAQs)
LLP is an alternative business form that gives the benefits of limited liability of a company and the flexibility of a partnership. Partners liability are restricted to the extent of Contribution made by them.
Any two or more persons associated for carrying on a lawful business with the motive of profit may set up an LLP.
No, these shall not be applicable to LLPs.
A minimum of two partners will be required for formation of an LLP. There will not be any limit to the maximum number of partners.
Every LLP shall be required to have atleast two Designated Partners who shall be individuals and at least one of the Designated Partner shall be a resident of India. In case of a LLP in which all the partners are bodies corporate or in which one or more partners are individuals and bodies corporate, at least two individuals who are partners of such LLP or nominees of such bodies corporate shall act as designated partners.
The mutual rights and duties of partners inter se and those of the LLP and its partners shall be governed by the agreement between partners or between the LLP and the partners. This Agreement would be known as “LLP Agreement”.
Partners can contribute either of Tangible or Intangible property or both.
An LLP shall be under obligation to maintain annual accounts reflecting true and fair view of its state of affairs. A “Statement of Accounts and Solvency” in prescribed form shall be filed by every LLP with the Registrar every year.
LLP is required to gets accounts audited when Turnover exceeds forty lakh rupees or whose contribution exceeds twenty five lakh rupees. The accounts of every LLP shall be audited in accordance with Rule 24 of LLP, Rules 2009.
Every LLP would be required to file annual return Form 11 with ROC within 60 days of close of financial year. LLPs must uniformly maintain a financial year that starts on April 1st and ends on March 31st, therefore the Annual return of a LLP is due on or before May 30th of each financial year.
Statement of Accounts and Solvency of a LLP is due within 30 days from the end of six months of close of financial year.
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