Start A Business: LLP (Limited Liability Partnership)

A corporate business vehicle that enables professional expertise and entrepreneurial initiative to combine and operate in flexible, innovative and efficient manner, providing benefits of limited liability while allowing its members the flexibility for organizing their internal structure as a partnership. Basically it’s a hybrid structure of Private Limited and Partnership Firm. with less compliance & cost with more flexibility and control over the business and its profit. The Liability of each partner is limited to his share as written in the Agreement filed at the time of creation of LLP as compared to Partnership Firms which have unlimited liability. It has a Low Cost of Formation and is Easy to Form. The Partners are not liable for the acts of each other and can be held liable only for their own acts as compared to Partnerships wherein they can be held liable for the acts of their partners as well. Less Restrictions and Compliance are enforced on a LLP by the Govt as compared to the restrictions enforced on a Company. As a Juristic Legal Person, a LLP can sue in its name and be sued by others. The partners are not liable to be sued for dues against the LLP.

Document Required :

Applicant Details : Minimum 2 (Partner) with their :- (1) PAN & Aadhar copy. (2) ID Proof: Voter ID or Passport or Driving License. (3) Address Proof: Bank Statements or Mobile bill (Last Month). (4) Educational Qualification. (5) Present Occupation. (6) Passport size photo. (7) Email & Mobile No. (8) Place of birth. (9) Nationality. (10) DIN : If allotted earlier. (11) Details of companies where you are already engaged as a director / Partner. (12) No. of year from which residing at the residential place. (13) Specimen Signature.

Details of LLP : (1) Proposed name of the company, (2) Objective and nature of the Business. (3) Email and Mobile No. , (4) Proof of place of business: Electricity or Mobile bill (Last Month). (5) Proof of ownership: Rent agreement in the name of any one applicant Director (But if the property is owned by any of the director then purchase deed will be required.) (6) NOC from the owner of Place of business. (7) Profit sharing ration between Partners. (8) Amount of share capital.

Our Deliverable

One DSC, Two DPIN, Company name reservation form, COI, LLP Agreement, Commencement of business letter, PAN.(Stamp Paper is to arrange by applicant)

Two DSC, Two DPIN, Company name reservation form, COI, COI, LLP Agreement, Commencement of business letter, PAN, TAN, GST, MSME, Shop & Establishment. (Stamp Paper is to arrange by applicant)

Two DSC, Two DPIN, Company name reservation form, COI, LLP Agreement, Commencement of business letter, PAN, TAN, ESIC & PF No. GST, MSME, Shop & Establishment, ISO 2009:2015, Trade Mark application, and Current account opening kit. (Stamp Paper is to arrange by applicant)

Advantage :

  • Less Restrictions and Compliance
  • has a Low Cost of Formation
  • No Dividend Distribution Tax
  • Audit not required up to a turnover of Rs. 40 lakh.
  • No need for auditor appointment
  • Need not to conduct AGM
  • ROC compliance are approx nil

Disadvantage :

  • No foreign Contribution
  • Less publicly recognized
  • No separation between director and shareholder
  • Stamp duty varies from state to state.