WHAT IS LLP COMPANY REGISTRATION?
Limited Liability Partnership (LLP) introduced in 2008 is a prominent legal business structure in India having fewer legal compliances, as the name suggests LLP limits the liability of its partners & lends protection from the incompetence or misdeeds of the other partners. LLP registration is one of the simplest forms of business to incorporate and manage in India.
Also, LLP is less expensive to incorporate and maintain than a Private Limited Company & serves as a better option from a tax perspective.
LLP company registration is preferred by Professionals, Medium and Small businesses due to the simple incorporation procedure and lesser compliance formalities. LLPs are incapable of issuing equity shares, It should thus, not be used for any business that requires raising equity funds during its existence.
REASONS TO OPT FOR LLP
A private limited partnership offers legal protection to its shareholders but restricts its ownership. It is relatively convenient to manage and run the company with a possibility of expansion for growing companies. Also, it is easy to dissolve and wind up the company.
DOCUMENTS REQUIRED FOR LLP REGISTRATION IN MUMBAI
- Copy Of PAN OR Passport (For NRI’S)
- Copy Of Voter’s ID OR Passport OR Driver’s License
- Copy Of Latest Bank Statement OR Electricity Bill OR Telephone Bill
- Passport sized photographs
- Specimen Signatures
- Copy Of Latest Bank Statement OR Electricity Bill OR Telephone Bill
- Copy Of Notarized Agreement of the rent (English)
- Copy Of Property owner’s NO-Objection certificate
- In case of owned property, Sale deed (English)
LLP REGISTRATION PROCEDURE
To get LLP registration in Mumbai, DSC (Digital/E-signature) of the partners & DPIN (Designated Partner Identification Number) can be obtained within 5 to 7 days.
Name Approval from any of the maximum six options given by the company to the MCA should ideally be suggestive of the business entity & unique.
Incorporation documents should be submitted to the MCA with an application for incorporation. MCA will then approve the application for incorporation of LLP in 10 to 12 days.
The Certificate of Incorporation shall be accepted at the end of this process.
Every LLP company registration requires a registered Permanent Account Number (PAN) and Tax Account Number (TAN).PAN and TAN will then be couriered to the registered office address in 21 working days.
Establishing a Limited Liability Partnership (LLP) for your business can be a strategic decision. Combining the flexibility of a partnership with the limited liability of a corporation, the LLP business structure has emerged as a compelling route for entrepreneurs, professionals, and small to medium-sized enterprises. A significant merit of limited liabilities partnership to be considered while making this important decision is that LLPs require a minimum of two partners, and there is no maximum limit, which makes them ideal for various business sizes and structures.
At Shah and Doshi, we understand that the decision to form or manage an LLP is a significant one. Our team of experienced chartered accountants specializes in LLP registration and offers a range of services to assist you at every stage, right from LLP formation services to LLP company registration. Shah and Doshi, as your chartered accountant, bring a wealth of expertise backed by years of experience that can help you achieve your business aspiration.
With our client-focused approach accompanied by services tailored according to your business requirements, we provide hassle-free LLP registration in Mumbai. Shah and Doshi can be your trusted partner in navigating the intricate needs of the business landscape with the following benefits-
- End-to-End Services: From LLP formation to ongoing compliance, tax optimization, and strategic planning, we offer a comprehensive suite of services to cater to a wide spectrum of business needs.
- Advisory and Consultation: We take the time to understand your business goals and provide solutions that cohesively meet your business requirements.
- Tax Efficiency: We specialize in optimizing the tax structure of LLPs, helping you make the most of potential tax benefits while ensuring compliance with tax regulations. By having Shah and Doshi by your side, you can stay proactive in your annual filing requirements, changes in LLP law, and related compliance matters.
- Conversion and Dissolution: Whether you’re considering converting your existing business structure into an LLP or dealing with the dissolution of an LLP, our experts are here to assist you every step.
Whether you are a professional seeking to collaborate with peers or a business looking for a robust structure considering LLP business structure, we can help you unlock the power of Limited Liability Partnerships (LLPs) for your business. Contact us to get details on our LLP registration service.
FAQs about LLP Registration
LLP stands for Limited Liability Partnership. It is a business structure that merges the benefits of both- a limited liability company as well as partnership. LLPs are governed by the Limited Liability Partnership Act 2008 in India. The key features of an LLP registration in India are limited liability, separate legal entity, perpetual succession, flexibility in management, no minimum capital requirement, and partnership taxation.
To incorporate an LLP in India, you need a minimum of two partners, with at least two designated partners, one of whom should be an Indian resident. The proposed LLP name should be unique and comply with naming guidelines. You must have a registered office in India, obtain Digital Signature Certificates (DSCs) for designated partners, and submit address proof, identity proof, and photographs of the designated partners with their consent.
There is no maximum limit on the number of partners in an LLP company registration in India. You can have any number of partners if there are at least two to form and operate the LLP.
The main purpose of an LLP is to provide a flexible business structure with limited liability protection. It allows professionals and entrepreneurs to work together while limiting personal liability for the actions of other partners.
For LLP registration, you need an LLP Agreement defining the rights and obligations of partners, along with address proof, identity proof, and photographs of designated partners. The application for incorporation, DIN forms, and DSCs of designated partners are also required for online filing.
A company that has LLP registration in Mumbai can reap the benefits of limited liability and flexibility of a partnership business. The requirement for compliance is much less in an LLP as compared to any other company or business structure.
Having an LLP company registration can give an organization benefits like having limited liability, a separate legal entity, minimal regulatory compliance, property ownership, no requirement for audit, continuity of existence of the LLP, free transferability of ownership and taxation benefits.
According to section 5 of the LLP Act, 2008, it is clarified that only a corporate body or an individual may be a partner in a Limited Liability Partnership. An individual that subscribes their name to an incorporation document will be considered as the first partner of the company under LLP registration. Any other person in accordance with LLP registration in Mumbai can become a partner.