What is LLP registration?
LLP stands for Limited Liability Partnership and this concept is quite different from the traditional general partnership. This partnership is growing on people off late as it limits the effect of any disaster caused by another partner. People who don’t want to spend more and save on some tax, then LLP is the best to consider. Compared to Private Limited Company, it requires less investment and wins more advantages. LLP is free from equity funding and therefore preferred by web designers, architects etc.
Here’s how we help you if you have made the choice
- Digital Signature Certificate of each of the partners is required to get a Digital Partner Identification Number (DPIN). Few documents need to be kept handy for further process
- Choose a name that you want your LLP to have and to be incorporated by Ministry of Corporate Affairs. This process ensures that the certificate of incorporation is approved
- The PAN and TAN will be provided by the same process like that in Private Limited Company. You just need to courier the hard copies of documents and in a few days, PAN and TAN will be provided to you
Advantages of Limited Liabilities Partnership
- Limited Liability: In case of general partnership, one partner has to bear the consequence of the other partner in business. For example, if debts borrowed by one business partner is unable to be repaid, all the other partners come together to save the drowning partner from any extreme consequences. In case of LLP, this doesn’t take place.
- Exemption from Compliance: Unlike general partnership, an LLP has a few compliances to take care of. It is liable to file audited annual reports only if it has an annual turnover of 40 lakh with a capital contribution of 25 lakhs.
Benefits on Tax: Dividend distribution tax and tax surcharge are exempted from LLP. In fact loans availed by partners are also tax exempted.
Know about the documentation
For the Partners
- Scanned copy of PAN card/Passport (Foreign Nationals and NRI)
- Scanned copy of PAN/Voter’s ID/Driver’s License
- Scanned copy of the latest statements of Bank/Landline or Mobile Bill/Utility like Electricity or Gal Bill
- Passport sized photographs scanned
- Specimen signatures (for Partners; blank doc with signature)
Four Weeks is the time we ask for the entire process
- Scanned copy of latest Bank statement/Utility bill like Telephone, mobile, electricity or gas
- Scanned copy of Notarised Agreement of Rent in English
- Scanned copy of NOC or No Objection Certificate by the property owner
- Scanned copy of Sale Deed/Property Deed in English (if the property is owned)