LLP Registration in India

LLP Registration in India

LLP Registration in India has become an alternative form of business that provides the advantages of a Company and the flexibility of a Partnership firm into a single organization. The Concept of LLP in India was introduced back in 2008 by the Limited Liability Partnership Act of 2008. This unique hybrid is suitable for setting small, medium-sized businesses.

It is very easy to manage and incorporate a Limited Liability Partnership in India. To register an LLP minimum of two partners are required, there is no upper limit as such. The LLP agreement states the rights and the duties of the Partners. In an LLP one partner is not responsible for the misconduct and negligence of the other partner. The partners are responsible for the compliances and all the provisions that are specified in the LLP agreement.

Check Business Name Availability

Find if business name can be registered with MCA in India

To register a company in India, the first step is to obtain name approval for the business from the Ministry of Corporate Affairs (MCA). This process takes about 24-48 hours. A private limited company name in India must end with the words private limited. One Person Company ends with (OPC) private limited. LLP end with LLP and Section 8 companies can end with words like foundation, association or institution.

A company name proposed to be registered cannot be identical or similar to an existing company name. Also, every company name must include a word that denotes the activity undertaken. For example, in VERVE Financial Services Private Limited - Financial Services denote the activity undertaken. Check Business Name Availability

Online Trademark Search

Enter a brand name to search across all trademark classes

All trademarks are registered in India with the Office of the Controller General of Patents, Designs and Trade Marks. A trademark application has to be filed under a class that denotes the type of goods or services the brand or logo represents. There are 45 trademark classes and each class represent a distinct type of goods or service.

Trademark search can be conducted using the tool above to check if any identical or similar brand or logo is registered or applied for under the same class. If there is an existing application, care must be taken while reapplying to ensure that the application is not rejected by the Trademark Registrar. Trademark Search

Proprietorship vs Limited Liability Partnership (LLP) vs Company

Features Proprietorship Partnership LLP Company
Definition Unregistered type of business entity managed by one single person A formal agreement between two or more parties to manage and operate a business A Limited Liability Partnership is a hybrid combination having features similar to a partnership firm and liabilities similar to a company. Registered type of entity with limited liability to the owners and shareholders
Ownership
  • Sole Ownership
  • Min 2 Partners
  • Max 50 Partners

For One Person Company
  • 1 Director
  • 1 Nominee Director
Registration Time 7-9 working days
Promoter Liability Unlimited Liability Limited Liability
Documentation
  • LLP Deed
  • Incorporation Certificate
Governance - Under Partnership Act LLP Act, 2008 Under Companies Act,2013
Transferability Non Transferable Transferable if registered under ROF Transferable
Compliance Requirements
  • Income tax filing if turnover is more than Rs.2.5 lakhs
Know More

LLP Registration FAQ's

Who are eligible for LLP?

To form an LLP, at least two individuals (called Designated Partners) must be appointed. The individuals must be aged 18 or above and must possess a valid Indian address. Designated Partners can be individuals or bodies corporate (such as companies). Foreign nationals, foreign corporate bodies and limited liability partnerships can also be appointed as Designated Partners.

How much does an LLP cost?

The cost of registering an LLP in India depends on the number of partners, the amount of the contribution made by each partner and any additional registration fees. There are additional costs associated with setting up an LLP in India, such as professional fees, stamp duty, and other registration requirements.

Is GST required for LLP?

Yes, Goods and Services Tax (GST) is required for all Limited Liability Partnerships (LLPs) depending on the type of services or goods they offer. LLPs are required to obtain a GST registration and file GST returns on a regular basis.

What is a Digital Signature Certificate?

A DSC is helpful in identifying the sender or the signee electronically. The Ministry of Corporate Affairs (MCA) has made it mandatory for all the designated partners to apply with the Digital Signatures.

What is DPIN?

Designated Partner Identification Number is a unique identification number that is assigned to all existing and proposed Designated partners of an LLP. All the present or proposed Directors must have a DPIN.

How long does it take to incorporate an LLP?

The time taken for incorporation depends on the submission of relevant documents by the client as well as the Approvals from the Government authorities. IndiaFilings can help you Incorporate an LLP in 14-20 days.

Can NRIs/ Foreign Nationals be designated partners in LLP?

An NRI can be a designated partner in a Limited Liability Partnership if he has a Designated Partner Identification Number. However, at least one Designated Partner in the LLP must be a resident Indian.

Do LLPs allow Foreign Direct Investment (FDI)?

FDI is allowed under automated route in an LLP by the Foreign Investments Promotion Board (FIPB). Note: Foreign Institutional Investors and Foreign Capital Investors are not allowed to invest in LLPs.

Can we convert a Partnership Firm into an LLP?

An existing partnership firm or a Company that is unlisted can be converted into an LLP. This conversion into an LLP brings in many benefits.

What documents are required for incorporating an LLP?

For the Partners
  • PAN or Passport
  • Any Identity proof
  • Bank statements
  • Registered office proof
  • NOC from the landlord to use the premises of the registered office
  • Any utility bills of the premises which are not less than two months.

Is LLP a good idea?

LLP is a combination of both Partnerships and a Limited Company, offering the advantages of both the companies.

What are the compliances for LLP?

An LLP is supposed to file 1. LLP Annual return by Filing Form 11. 2. Final Statement of Account and Solvency 3. Income Tax Return.

Is it possible for an LLP to raise funds?

An LLP cannot raise funds from the public in any form. In an LLP only partners can contribute their capital and the liability of the Partners is limited to the extent of their contribution.

What is LLP registration?

LLP Registration is the registration of an entity that provides the advantages of a Company and the flexibility of a Partnership firm in a Single organization.

Which is better LLP or Private Limited Company?

It is always better to incorporate an LLP over a Private Limited Company as though both offer the same features. The cost to incorporate an LLP is less as compared to the Private Limited Company. Similarly, the LLP owner holds the ownership as well as control over the Company. The Compliances in the LLP are fewer as compared to a Private Limited Company.

How to start an LLP?

The process of starting an LLP is completely online. All you need to do is submit the documents online. Regular follow-ups will be done by our consultants.

How many people are required to incorporate an LLP?

A minimum of two partners is required to incorporate an LLP.

What are the benefits of the LLP?

There are various reasons why one should incorporate an LLP. The registration cost is low. No requrement for minimum contributuion. No limits on the owners of the business. It is not necessary to carry audit. There are fewer tax compliances

How many people are required to incorporate an LLP?

A Limited Liability Partnership must have a minimum of two Partners and an LLP can have any number of Partners.

How to be a Partner in an LLP?

The designated Partner must be a natural person who is above 18 years of age. LLP Act 2008 allows a foreign national including Foreign Companies to incorporate an LLP in India, provided at least one designated partner is Indian.

How much capital is required to start a Limited Liability Partnership?

An LLP can be started with any amount of money there is no such minimum requirement. A partner may contribute both tangible and intangible property.

What is the main purpose of a limited partnership?

The main purpose a limited liability partnership (LLP) is to provide limited liability protection for the partners and also allowing them to share in the profits and losses of the business.
Refer to our article for more details on the purpose of LLP.

Who pays the debts of an LLP?

An LLP is responsible for its obligations, which means that the partners are not personally liable for any debts incurred by the LLP. But if an LLP can't pay its debts, the partners only have to pay out any money they've invested into the firm and nothing more.
Click here to read more about who pays the debts of an LLP?

What are the limitations of LLP?

  • A single person cannot form LLP, a minimum of two members needed
  • Two foreigners cannot form LLP without having one Indian partner
  • LLP structure takes more days to form
  • Partners undertake to contribute some amount towards the LLP firm
  • Difficulty in the transfer of ownership
  • FDI in LLP is allowed only through the Government route. FDI in LLP under automatic way is not permissible.
  • LLP cannot raise External Commercial Borrowing ("ECB")
For more details on the Limitations of LLP, click here.

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Many small businesses pay lakhs in penalty every year to the Government for late filing various statutory returns. Such penalty or late fee paid is not tax deductible and is a drain on profitability. At IndiaFilings, our mission is to provide the most affordable services to our customers and help them avoid all late fee.To achieve our mission - we have built enterprise grade technology to help you proactively know the upcoming compliance and avoid penalty.Checkout our compliance services below, talk to an Advisor and stop paying unwanted late fees.

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Related Business Registrations

In addition to registration or incorporation, a business may require other registrations depending on the business activity undertaken. Talk to an Advisor to find out registrations your business may require post registration.

MCA Compliance

Every registered entity has to comply with all the compliance obligations after the completion of each financial year. Majorly, it includes the audit of books of accounts, income tax return filing, and annual forms with the MCA.

Form Company Compliance Due date Penalty
COB Filing Commence of Business Certificate To be filed before 180 days of company Incorporation Rs.50,000 for non-compliance
DIR 3 EKYC For every person with DIN Before 30th September every year Rs.5000 penalty if the DIN is deactivated
Form ADT 1 Appointment of auditor Within 30 days of Company incorporation Rs.300 per month
Form AOC 4 Filing financial statements of the company 30 days from the conclusion of the AGM Rs.100 per day
Form MGT 7 Annual Returns of the Company 60 days from the conclusion of the AGM

In addition to the above filings, depending on the type of entity and business activity more compliance filing maybe applicable. Please check with an IndiaFilings Advisor to help you with the compliance for your company.

All Limited Liability Partnerships (LLP) registered in India are required to file statutory returns with the Ministry of Corporate Affairs (MCA) each year. LLPs having a sales turnover of over Rs.40 lakhs or capital of over Rs.25 lakhs will also be required to complete a statutory audit. IndiaFilings can help you maintain your LLP Compliance at a very affordable price.

Form LLP Compliance Due date Penalty
DIR 3 KYC For every person with DIN Before 30th September every year Rs.5000 penalty if the DIN is deactivated
Form 11 Annual Returns 30th May Rs.100 Per day
Form 8 Statements of Accounts and Solvency 30th October
Entity Form Due date
Private Limited Company ROC Filings 15th February 2022
ITR 6
GSTR 9 20th February 2022
Limited Liability Partnership ITR 5
(Non audit case)
15th February 2022
Form 11 31st August 2021
Form 8 30th October 2021

Note : Irrespective of the Turnover Advance Tax payment is to be done before 31st March 2022.

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Customer Reviews For LLP Registration

IndiaFilings has over 1 lakh customers and we have completed over 7 lakh services through our platform. At IndiaFilings, we take pride in the services delivered by us and guarantee your satisfaction with our services and support. We constantly improve and strive to deliver the best accounting, financial or secretarial services through the internet.

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20 May 2023
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Mr. Ismail has completed all my return filings in time. Happy to work with him.

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20 May 2023
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Mr. Ismail has completed all my return filings in time. Happy to work with him.

NARENDRA KUMAR K

LLP Form 11 Filing
Verified Customer
19 May 2023
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wonderful experience

LOGITHASREE B

Trademark Registration
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13 May 2023
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very Good Work

RAJ MAGAR

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12 May 2023
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good and helpful.

VITIKA MAKAJI

Winding Up - Company
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04 May 2023
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Good follow up.

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03 May 2023
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nice thanks

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28 April 2023
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you are good and sincere worker.Thankyou.

LLP Registration in City


Last updated: Apr 20, 2023

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