What is LLP Registration?

LLP Registration is the process to incorporate a Limited Liability Partnership. It is a business entity governed under the Limited Liability Partnership Act, 2008. A minimum of two partners are requirements for its incorporation in India.

If you intend to do business safely, you need to protect your personal assets. However, if you choose the traditional limited company to keep your assets away from your business, you lost the aspects of a partnership firm. So, is there a way to retain the benefits of a limited company while existing as a partners firm? Yes, there is. 

Let us explain limited liability partnership to you.

Limited Liability Partnership is a form of business entity that is seen as a partnership.

However, it does have the limited liability perk protecting the assets of the LLP owners. Introduced by the Limited Liability Partnership act of 2008, it is the most popular form of business infrastructure after a company. In order to establish it, you need to go through LLP registration in India.

Being Limited Liable is not the only way that an LLP differs from a partnership. In a partnership firm, if one partner does something wrong, both the partners are held accountable. However, one of the major benefits of LLP registration in India is that one partner’s misconduct isn’t going to affect the other partner.

The other features of LLP are as follows:

1. It is a separate legal entity from its members
2. Members have access to limited liability
3. An LLP is more flexible than a partnership.
4. A Limited Liability Partnership Agreement is created and signed by the partners beforehand before the business is started.
5. It requires at least two designated members.
6. It comes under the Limited Liability Partnership Act of 2008.

What are the benefits of LLP Incorporation in India?

Incorporating a Limited Liability Partnership in India has the following perks:

1. Ease of Incorporation: LLP Incorporation is an easy process. The documents required to establish it aren’t many and the business complexities aren’t severe. All these factors contribute to LLP being the first choice for veteran business owners.
2. There is no minimum capital requirement: You can start an LLP with minimum capital. The government of India has removed to allow entrepreneurs – both old and new – to establish this flexible business entity.
3. The cost of registration is low: The cost of incorporating an LLP partnership is low. It has been done to promote this business entity among ambitious entrepreneurs who not only seek to establish the business but also possess the capabilities to expand it. 
4. No limit to the number of partners: Perhaps the biggest perk that an LLP Limited Liability Partnership can enjoy is the non-existence of any limit to the number of partners. You can integrate as many partners as you want into your business entity. It will grant you limitless funding opportunities.
5. No requirement for compulsory audit: After you establish a business entity by following the steps for LLP company registration, you will be free from the woes of auditing. Acknowledging LLP as a flexible entity, MCA has removed any compulsory audit requirements for it.
6. Savings from less compliance: Owing to the fewer compliances, the savings you retain will be more. That factor is alone sufficient to register LLP in India.

Eligibility Criteria for Limited Liability Partnership Registration in India

Following are the LLP registration requirements you must meet before applying for the certificate of incorporation.

1. Minimum two people required for LLP incorporation: Without at least two individuals, a limited liability partnership firm cannot be constituted.
2. No minimum capital requirement: There is no minimum capital requirement to obtain the Limited Liability partnership certificate. However, you can’t set it to zero as some amount is required for the drafting of the stamp paper.
3. At least one designated partner of LLP should be from India: An LLP is an Indian business entity. Thus, a new LLP registration is only possible if at least one of the partners is from India.
4. To register an LLP, you must give it a unique name: Uniqueness of name is a factor that you cannot ignore when it comes to the formation of Limited Liability partnership. Consult with experts to determine the best name for your firm so that you can register LLP online.

Documents Required for Limited Liability Partnership Registration in India

The following are the documents required for LLP incorporation 

Limited Liability Partnership Documents that prove the eligibility of the partners

• Copy of PAN Card
• Identity Proof (Voter Card, Passport, Driving Licence)
• Address Proof (Bank Statement, Mobile bill, Telephone bill, Electricity Bill)
• Passport Size Photo
• DPIN (Designated Partner Identification Number
• DSC: Digital Signature Certificate 

For Registered Office

• Ownership Proof (Electricity Bill, Gas bill, Electricity Bill, Mobile Bill)
• NOC (Download Format)

Note:- Your registered office need not be a commercial space; it can be your residence too.

For LLP registration, these documents required are an integral part. Therefore, proceed with the incorporation process only after you have put these attachments together.

Process for Limited Liability Partnership Registration in India

The Limited Liability Partnership Registration process in India is quite easy. As a result, several business individuals find it easier to establish their businesses as an LLP. The process is as follows:

1. Get the DSC (Digital Signature Certificate) of the members of the LLP
2. Apply for, and obtain the Director Identification Number.
3. Get Approval for the name of the LLP.
4. Go to the MCA portal and fill the LLP registration form and upload the documents.
5. This process will incorporate your LLP. However, it would just be provisional information as you will need to draft an LLP agreement.
6. File the Limited Liability Partnership Agreement or the LLP partnership agreement

The LLP Agreement entails the details of powers wielded by the partners of the LLP. After submission of the agreement, you will get the Limited Liability partnership certificate.

Our Assistance in Limited Liability Partnership Registration in India

We, at Registrationwala, provide end to end solutions for Limited Liability Partnership registration in India. Our services include:

• DIN, DSC & Name Approval
• Submission of Form
• Reviewing the application and making changes if needed
• Obtaining Certificate Of Incorporation and delivering it to you.

Thus, if you are looking for services for the formation of a Limited liability partnership without paying high professional costs, call Registrationwala. 

Frequently Asked Questions

Q1. What is a Limited Liability Partnership?

LLP Registration is the process to incorporate a Limited Liability Partnership. It is a business entity governed under the Limited Liability Partnership Act, 2008. A minimum of two partners are requirements for its incorporation in India.

Q2. Can I get the LLP registration online?

Yes, there exists an online LLP registration process that allows you to fill the online application form to obtain a certificate of incorporation for your LLP.

Q3. Is Limited Liability Partnership a Company?

No, while a Limited Liability Partnership possesses the same traits as that of a company including the perks of Limited Liability, Separate legal entities, it is not a company.

Q4. What is the eligibility criteria of Limited Liability Company formation?

To form an LLP, the eligibility requirements are:

1. Minimum two partners
2. At least one Indian Partner
3. A unique name

Q5. Can you convert an existing partnership firm to LLP?

Yes. It is possible to convert an existing partnership firm to LLP. You can learn more about it here.

Q6. What are the documents required for the incorporation of a Limited Liability Partnership?

The documents required for LLP formation are as follows:

• Copy of PAN Card
• Identity Proof (Voter Card, Passport, Driving Licence)
• Address Proof (Bank Statement, Mobile bill, Telephone bill, Electricity Bill)
• Passport Size Photo
• DPIN (Designated Partner Identification Number
• DSC: Digital Signature Certificate
• Address proof of the registered office 

Q7. Can you convert an existing company into an LLP?

Yes. It is possible to convert an existing company into a Limited Liability Partnership by adhering to the provisions of clause 58 of Schedule III and IV for the LLP Act. To initiate the conversion, the applicant must fill Form 18 and Form 2

Q8. How can I reserve an LLP name?

Before applying for LLP incorporation, you must reserve the name of an LLP. You can do so by filing LLP FORM No.1 (Application form to reserve or change the name of an LLP)

Q9. Do I need to suffix LLP at the end of the name of Limited Liability partnership?

Yes. As per the LLP Act, you must suffix the term “LLP” at the end of the name of your Limited Liability Partnership firm.

Q10. What is the cost of registering an LLP?

The LLP Company Registration cost is NIL. The only government fee you have to bear will be decided based on the capital you wish to choose for your Limited Liability partnership.