Limited Liability Company

[vc_row full_width=”stretch_row” bg_type=”image” parallax_style=”vcpb-vz-jquery” bg_image_new=”id^8379|url^http://localhost/bthawk/wp-content/uploads/2017/05/2-1.jpg|caption^null|alt^null|title^2-1|description^null” enable_overlay=”enable_overlay_value” overlay_color=”rgba(255,255,255,0.99)” el_class=”section38″ css=”.vc_custom_1496391664219{padding-top: 4% !important;}”][vc_column width=”2/3″][vc_column_text css=”.vc_custom_1554898884482{padding-right: 10% !important;}”]The perfect structure for professional services firms such as financial advisories and ad agencies.[/vc_column_text][ultimate_spacer height=”10″][vc_row_inner][vc_column_inner width=”1/2″][bsf-info-box icon=”Defaults-group users” icon_size=”” icon_color=”” title=”Two DSCs & DPINs” hover_effect=”style_3″ pos=”left”]The partners must be registered with the MCA.[/bsf-info-box][/vc_column_inner][vc_column_inner width=”1/2″][bsf-info-box icon=”Defaults-dollar usd” icon_size=”” icon_color=”” title=”Name Reservation” hover_effect=”style_3″ pos=”left”]We will then help you pick a unique name.[/bsf-info-box][/vc_column_inner][/vc_row_inner][vc_row_inner][vc_column_inner width=”1/2″][bsf-info-box icon=”Defaults-thumbs-o-up” icon_size=”” icon_color=”” title=”LLP Agreement” hover_effect=”style_3″ pos=”left”]We will draft your company’s constitution.[/bsf-info-box][/vc_column_inner][vc_column_inner width=”1/2″][bsf-info-box icon=”Defaults-thumbs-o-up” icon_size=”” icon_color=”” title=”LLP PAN & TAN” hover_effect=”style_3″ pos=”left”]We will send in a request to the NSDL.[/bsf-info-box][/vc_column_inner][/vc_row_inner][/vc_column][vc_column width=”1/3″][ultimate_pricing design_style=”design05″ color_scheme=”custom” color_bg_main=”#54e7b3″ color_bg_highlight=”#54e7b3″ sub_heading_tag=”h2″ package_price=”₹5000″][/ultimate_pricing][contact-form-7 id=”8441″][/vc_column][/vc_row][vc_row full_width=”stretch_row_content_no_spaces” equal_height=”yes” content_placement=”top” el_class=”dt-sc-dark-bg” css=”.vc_custom_1554802605034{padding-top: 5% !important;}”][vc_column width=”1/2″ el_class=”rs_col-sm-12 dt-sc-dark-bg left-right-space” css=”.vc_custom_1496141359781{padding-top: 70px !important;padding-bottom: 60px !important;background-color: #202020 !important;}”][vc_custom_heading text=”Frequently Asked Questions” font_container=”tag:h2|font_size:40px|text_align:left” use_theme_fonts=”yes” el_class=”vcr_float_right”][dt_sc_accordion style=”frame” framed_accordion_type=”type3″][dt_sc_accordion_tab title=”1. What is the eligibility of designated partners/partners in an LLP?”][vc_column_text css=”.vc_custom_1554899283232{margin-bottom: 0px !important;}”]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.[/vc_column_text][/dt_sc_accordion_tab][dt_sc_accordion_tab title=”2. I am an NRI. Can I start an LLP business in India?”][vc_column_text css=”.vc_custom_1554899296944{margin-bottom: 0px !important;}”]Yes, non-resident Indians and foreign nationals who are willing to enter into an LLP partnership can do so, provided they submit the necessary documents after getting it notarized by the concerned authorities. Although, at least one of the designated partners in an LLP should be an Indian national.[/vc_column_text][/dt_sc_accordion_tab][dt_sc_accordion_tab title=”3. What are the rules of starting an LLP?”][vc_column_text css=”.vc_custom_1554899348943{margin-bottom: 0px !important;}”]Any group of persons who have or want to invest money in a business can start an LLP. A person or an investor becomes a partner, according to the LLP agreement, as provided in the Act of 2008. Also, the investors/partners are owners of the business started under the LLP.[/vc_column_text][/dt_sc_accordion_tab][dt_sc_accordion_tab title=”4. What is an LLP agreement?”][vc_column_text]An LLP agreement is one that is made between the partners and the LLP regarding the relationship between the individual partners in the LLP. An LLP agreement usually consists of management policies, inclusion of new partners, policy making strategies, and so on.
[/vc_column_text][/dt_sc_accordion_tab][dt_sc_accordion_tab title=”5. What is the minimum number of partners required to start LLP?”][vc_column_text]According to the LLP Act, 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.[/vc_column_text][/dt_sc_accordion_tab][dt_sc_accordion_tab title=”6. What kind of start-ups commonly register LLPs?”][vc_column_text]Typically, only start-ups that will not be looking for venture capital funding register LLPs. This is because venture capitalists only invest in private and public limited companies.[/vc_column_text][/dt_sc_accordion_tab][dt_sc_accordion_tab title=”7. Is it cheaper to run an LLP than a private limited company?”][vc_column_text]Yes, it is much cheaper to run an LLP than a private limited company, particularly in your early start-up days. This is because many compliances, such as an audit, apply to LLPs only after their turnover is sizeable. Most LLPs spend about half as much as a private limited company in their first year on registrations and compliance work.[/vc_column_text][/dt_sc_accordion_tab][/dt_sc_accordion][/vc_column][vc_column el_align=”left” width=”1/2″ el_class=”rs_col-sm-12 aligncenter fullwidth-cover left-right-space” css=”.vc_custom_1554800772219{padding-top: 70px !important;padding-bottom: 60px !important;background: rgba(0,0,0,0.9) url(http://localhost/bthawk/wp-content/uploads/2017/05/auditingparallax1.png?id=7994) !important;background-position: center !important;background-repeat: no-repeat !important;background-size: cover !important;*background-color: rgb(0,0,0) !important;}” addstyles=”background-attachment:fixed !important;”][vc_custom_heading text=”What is a Limited Liability Partnership?” font_container=”tag:h2|font_size:40|text_align:center” use_theme_fonts=”yes” text_transform=”uppercase” css=”.vc_custom_1554899128066{margin-bottom: 0px !important;}”][dt_sc_separator class=”aligncenter”][vc_column_text]

Limited Liability Partnership (LLP) in India took shape after January 2009, making it an instant success with startups and professional services. Limited Liability Partnership Registration, governed by LLP Act 2008 combines the benefits of a partnership with that of a limited liability company. LLP was introduced to provide a form of business that is easy to maintain and to help owners by providing them with limited liability.

[/vc_column_text][vc_custom_heading text=”Steps to register LLP in India” font_container=”tag:h2|font_size:40px|text_align:left” use_theme_fonts=”yes” el_class=”vcr_float_right”][vc_custom_heading text=”STEP 1: OBTAINING DSC AND DIN” font_container=”tag:h5|font_size:18px|text_align:left|color:%2354e7b3″ use_theme_fonts=”yes” el_class=”vcr_heading-right”][vc_column_text]The first step is to obtain DSC of the desired partners of the Limited Liability Partnership. The reason for this is that all the forms need to be submitted online and require the directors’ digital signatures.

The law also requires that all directors file for a DIN number. The application has to be made in Form DIR- 3.[/vc_column_text][vc_custom_heading text=”STEP 2: APPLICATION FOR NAME APPROVAL” font_container=”tag:h5|font_size:18px|text_align:left|color:%2354e7b3″ use_theme_fonts=”yes” el_class=”vcr_heading-right”][vc_column_text]This process involves registering the LLP. Before you do this, you would need to see if the name is already taken. You can check on the free search facility on the MCA portal. The registrar only approves LLP names that are not taken before.[/vc_column_text][vc_custom_heading text=”STEP 3: LLP AGREEMENT” font_container=”tag:h5|font_size:18px|text_align:left|color:%2354e7b3″ use_theme_fonts=”yes” el_class=”vcr_heading-right”][vc_column_text]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. The partners enter into the LLP agreement upon the LLP registration by filing form 3 online on the MCA portal. This procedure has to be done within 30 days of the date of incorporation.[/vc_column_text][vc_custom_heading text=”STEP 4: LLP INCORPORATION CERTIFICATE” font_container=”tag:h5|font_size:18px|text_align:left|color:%2354e7b3″ use_theme_fonts=”yes” el_class=”vcr_heading-right”][vc_column_text]Once the registrar approves your MOA and AOA, you’re steps closer to getting your LLP registered. The next step is to get the LLP Incorporation Certificate. You can do by submitting all documents to the registrar. The time frame is between 2- 12 days. Once you get your LLP Incorporation Certificate, you’re ready to go.[/vc_column_text][vc_custom_heading text=”STEP 5: APPLY FOR PAN & TAN & BANK ACCOUNT” font_container=”tag:h5|font_size:18px|text_align:left|color:%2354e7b3″ use_theme_fonts=”yes” el_class=”vcr_heading-right”][vc_column_text]As soon as you get the incorporation certificate, you need to apply for your company PAN & TAN with the NSDL. The cost for this procedure is less than Rs.200 and it takes around three weeks to get done.[/vc_column_text][/vc_column][/vc_row][vc_row css=”.vc_custom_1554801859051{padding-top: 5% !important;}”][vc_column][vc_row_inner][vc_column_inner width=”1/4″][/vc_column_inner][vc_column_inner width=”1/2″][/vc_column_inner][vc_column_inner width=”1/4″][/vc_column_inner][/vc_row_inner][ultimate_spacer height=”30″][vc_row_inner][vc_column_inner width=”1/3″][dt_sc_iconbox type=”type3″ icon_type=”css_class” icon_css_class=”pe-icon pe-diamond” title=”SEPARATE LEGAL ENTITY” class=”with-shadow”]LLP is a separate legal entity from the partners. Each partner can sue the other in case a situation arises. It has an uninterrupted existence that follows perpetual succession, i.e., the partners might leave, but the business remains. A term of dissolution has to be mutually agreed on for the firm to dissolve.[/dt_sc_iconbox][/vc_column_inner][vc_column_inner width=”1/3″][dt_sc_iconbox type=”type3″ icon_type=”css_class” icon_css_class=”pe-icon pe-graph1″ title=”SUITABLE FOR SMALL BUSINESS” class=”with-shadow center”]LLPs having a capital amount less than 25 lakhs and turnover below 40 lakhs per year do not require any formal audits. It makes registering as LLP beneficial for small businesses and startups. An LLP can own or acquire property because it is recognized as a juristic person. Partners of LLP cannot claim the property as theirs.[/dt_sc_iconbox][/vc_column_inner][vc_column_inner width=”1/3″][dt_sc_iconbox type=”type3″ icon_type=”css_class” icon_css_class=”pe-icon pe-rocket” title=”FLEXIBLE AGREEMENT” class=”with-shadow”]Transferring the ownership of LLP is also simple. A person can quickly be inducted in as a designated partner and the ownership switches to them.[/dt_sc_iconbox][/vc_column_inner][/vc_row_inner][/vc_column][vc_column][ultimate_spacer height=”80″][/vc_column][/vc_row][vc_row][vc_column][vc_column_text][/vc_column_text][/vc_column][/vc_row]