Procedure of the Partnership Registration India

By  |  0 Review

LLP stand for (Limited Liability Partnership), in an LLP all the partners would have the limited liability that means every partner would have shared for its own actions and shall not able to interfere the others act. Unlike a partnership firm, in an LLP if any negligence is caused by any partner, all partners would be excluded from the liability arising out of such misconduct caused by the negligent partner and he/she would be liable. In an LLP (Limited Liability Partnership) partners can directly manage the business. LLP is controlled by the Limited Liability partnership. One more discriminating feature of LLP is that a separate legal entity which can be sued in its own name. In Partnership registration India all the partners would be liable for their own acts.

There are some features of Features of Partnership Registration:

  • If the contribution exceeds Rs. 25 lakh or the annual turnover exceeds the 40 lakhs then LLP has to maintain the annual accounts.
  • For making an LLP, minimum two partners adhere and there is no limitation for the maximum number of partners.
  • The rights of the partners are to be fixed as agreed upon by them on agreement and partners would have a choice conceive the agreement according to them.
  • LLP is a legal entity and can be sued in its own name
  • According to Partnership Registration India all the partners will be the responsible for their own acts and other partners will not suffer from the negligence and misconduct.
  • The share of liability of the partners is limited in the LLP except in the case of fraud and it can’t be extended up to their personal assets.
  • It must be a “for profit business”.

Limited Liability Partnership is a business which is not easy to manage and run but it is also easy to dissolve and wrap up and the reason being is lesser compliance requirements, comparatively lower cost of formation. It is an advantageous form of partnership. However, there is one drawback in Limited Liability Partnership is it cannot raise the money from the public incorporation of LLP.

Registration Procedure for Partnership Firms in India

  • The very first thing is to be decided about the LLP partners and designated partners i.e. who will be partners in LLP and who will be the designated partners.
  • After that designated partner’s digital certificate signature is to be taken and designated partner identification number.
  • The LLP’s name is to be decided and should also check the selected name is available on the official website of Ministry of Corporation Affairs.
  • Then it comes to the drafting of LLP agreement and all terms and condition should be accepted by all the partners.
  • After drafting the agreement the Partners can file the agreement along with its incorporation documents and acquire a certificate of incorporation from Ministry of Corporate Affairs.
  • It is mandatory for LLP to be registered with the ROC. The public company name should be ended with the words LLP or Limited Liability partnership.

any companies are working in this field as the business is growing in every sector especially in e- commerce. With establishing companies entrepreneurs also have to register their firm or need to follow some legal procedures. We at Lexoracle give their customer 100 percent satisfaction from our highly-skilled staff.

Leave a Reply

Your email address will not be published. Required fields are marked *