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Limited Liability Partnership in India(LLP)

Venturing into a Company of your own could also lead to unimaginable and risky consequences, so there is a need to see things from a different perspective. The LLP is a type of a legal entity which was introduced in India as a Limited Liability Partnership Act 2008. This kind of firm is one in which all the partners have limited liability. It also provides an opportunity for those who want to benefit themselves by having the advantages of both ‘Company’ and ‘Partnership’, both in one firm. 

Moreover, the Company provides benefits to its individual partners for they are not responsible or liable for the actions of the other partners’ misconduct or negligence, something which isn’t like the traditional partnership. This type of firm allows the young entrepreneurs, small and medium business to pave a step towards the starting of a Company. 


How to register a Limited Liability Partnership in India 

Knowing the benefits of the LLP, now you might want to know how to create an LLP in India. So here is the pROCedure, which would guide you for the same. 


  1. Get a Digital Signature Certificate (DSC) because it is the only way by which the DIN or the Director Identification Number of the partners could be obtained.
  2. The next step is to get the individual DIN of each and every partner which takes just a few days time to pROCess.
  3. The next step is to get a name approved by the MCA.
  4. After the MCA approves of the name, the approval letter is received by the Partners, who then have a tenure of 60 days for the submission of legal documents for establishing the firm.
  5. The partners also have to file a Partnership Agreement within the 30 days after the application is accepted, else they would be exposed to fines.
  6. Hence after filing the limited liability partnership form and the acceptance, you are good to go.


LLP registration benefits

  1. Less compliance is required.
  2. Has a separate and individual entity like other comPANies.
  3. The price of registration of LLP is low.
  4. There is no requirement of minimum capital contribution from investors.
  5. The liability of each partner is limited to the contributions which are made by each partner.
  6. No requirement of audit which is compulsory.
  7. Additional charges in the form of DDT are not mandatory for individuals if they want to withdraw profits from the Company.
  8. An LLP can be formed by just a minimum of two “designated” members.

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