Llp Registration

WHAT IS LLP REGISTRATION ?

1. A Limited Liability Partnership (LLP) is a type of business structure where a foreign legal entity owns at least 50% of the total investment in the company. This means that a foreign company has a significant say in how the LLP operates.
2. The foreign company that has this level of control is typically referred to as the "Parent Company" or "Holding Company." This Parent Company can either create a new subsidiary company or acquire an existing one.
3. When the Holding Company owns a majority of the shares in the subsidiary company, it has the power to make important decisions because it's the largest shareholder.

What is the overall process for registering an LLP?
Understanding the steps involved will give you a clear roadmap of what to expect.

1. Step 1 - Obtain Digital Signature Certificates (DSCs)
2. Step 2 - Designated Partner Identification Number (DPIN)
3. Step 3 - Name Reservation
4. Step 4 - Draft LLP Agreement
5. Step 5 - Incorporation Documents
6. Step 6 - File Incorporation Documents
7. Step 7 - Registrar's Approval
8. Step 8 - PAN and TAN Application
9. Step 9 - Bank Account Opening
10. Step 10 - Compliance with Annual Filings
11. Step 11 - GST Registration (if applicable)
12. Step 12 - Income Tax Compliance
13. Step 13 - Maintain Proper Records
14. Step 14 - Adherence to LLP Agreement
15. Step 15 - Annual Audit (if applicable)
16. Step 16 - Compliance with Other Regulatory Requirements
17. Step 17 - Renewal of DPIN and LLP Agreement Updates

What is an LLP, and how does it differ from other business structures like a private limited company?
An LLP is a legal structure that combines the benefits of a partnership and a private limited company. It provides limited liability to its partners, meaning their personal assets are protected from business liabilities. Unlike a private limited company, an LLP has a simpler structure, and partners can manage the business directly.

How many partners are required to form an LLP in India?
To register an LLP in India, a minimum of two partners are required. However, there is no upper limit to the number of partners. Partners can be individuals or other legal entities, like companies.

What is the minimum capital requirement for setting up an LLP?
There is no minimum capital requirement for forming an LLP in India. You can start with any amount of capital that suits your business needs. The partners' contributions are typically defined in the LLP agreement.

How long does it take to complete the LLP registration process?
The LLP registration process usually takes around 15 to 20 days, assuming all the necessary documents are in order. It involves steps such as obtaining Digital Signature Certificates (DSCs) and Designated Partner Identification Numbers (DPINs), name approval, and filing incorporation documents with the Registrar of Companies (RoC).

What are the compliance requirements for an LLP after registration?
After registration, an LLP in India must comply with certain legal and regulatory requirements, such as filing annual returns and financial statements with the RoC, maintaining books of accounts, and conducting annual meetings. We will guide you through these compliance obligations to ensure your LLP operates in accordance with the law.

Can foreign nationals or entities become partners in an Indian LLP?
Yes, foreign nationals and entities can become partners in an Indian LLP, subject to certain conditions and approvals. We can assist you in understanding the Foreign Direct Investment (FDI) regulations and obtaining any necessary approvals if required.

What is the taxation structure for an LLP in India?
LLPs are taxed as separate legal entities, and their profits are subject to income tax. However, the partners are not liable to pay tax on their share of profits from the LLP. The taxation structure for an LLP can vary based on the specific business activities and annual turnover. We can help you navigate the taxation aspects of your LLP.

Documents Required

1. Self certified copy of PAN card of all Directors – 2 Copies
2. Four color passport size photograph of Directors
3. Copy of any utility bill or bank statement in the name of Directors
4. Mobile & Email of Director proposed Name & Objects of Company
5. Copy of Business proof of premises where company will be registered
6. Self certified copy of address proof of all Director- 2 copies, Anyone of Passport/Voter ID/Driving License/Aadhar Card
7. Incase of rented premises – Rent agreement + Latest electricity bill in the name of landlord + NOC
8. Incase of owned premises – Copy of sale Deed + Latest electricity bill in the name of owner

Starting a Limited Liability Partnership company involves several steps and processes. Here's a professional outline of the steps generally followed to register a Limited Liability Partnership company: