Limited Liability Partnership is the latest form of registration of business in India. The Limited Liability governs with the law Limited Liability Partnership Act,2008. The law was formed with the view to ease of doing business and also help the partners to distinguish their personal asserts from business. One of the most important point is that one partner of the LLP is not liable for the misconduct and negligence of other partner. In India, LLP got very much good response and its popular between small business and Professionals where individual skills are more required.
Salient features of the Limited Liability Partnership are as follows:
The main feature which make Limited Liability Partnership (LLP) so popular in so less time is Limited Liability of partners. The liability of partners are only upto the investment which they have made in the firm. No creditors or bank can claim the personal asserts of any partner against the liability of Business.
Another feature of Limited Liability Partnership (LLP) is that no other partner is liable for Misconduct and Negligence by Other partner. It makes Limited Liability Partnership (LLP) popular among the professionals like CA, Lawyers and Architect. The individual skills are highly required in professional firms and in case of Misconduct and Negligence the losses are high to the firms and other partners. LLP is the solution for them.
In Partnership firm if one partner dies, then partnership firm get dissolves. In case of Limited Liability Partnership Firms if one partner dies firm will not get dissolve. The Limited Liability Partnership Firms is a distinct person and a legal identity. No tow LLP have a similar name.
Limited Liability Partnership is registered under the Limited Liability Partnership Act,2008 and the firm get incorporated under Ministry of Corporate Affairs. Partnership Firm is registered under the Indian Partnership Act, 1932. The Liability of partners in Limited Liability Partnership is Limited but the liability of partners on Partnership firm is unlimited. In case of death of any partner the partnership firm dissolves but in case of death of any partner the LLP continues. The Partnership Firm is not a separate legal identity but the LLP is separate legal identity. In The Partnership Firm every partner is liable for Misconduct and Negligence by Other partner but in LLP all partners are not liable for Misconduct and Negligence by Other partner.
The company can raise the capital from floating of shares in market or by way of debentures. LLP can not raise funds from stock market or shares. Compliances in company are much more than LLP. In case of defaults for filing the compliances, the penalty in LLP are comparatively higher than company. The cost of audit and incorporation are very much similar but depends upon the size and scale of the Business.
|| LLP REGISTRATION ||
|| MSME REGISTRATION ||
|| DIGITAL SIGNATURE REGISTRATION ||
|| TAN REGISTRATION ||
|| GST REGISTRATION ||
|| FSSAI REGISTRATION ||
|| SME REGISTRATION ||
|| TRADEMARK REGISTRATION ||
|| IMPORT EXPORT REGISTRATION ||
1. Photograph
2. Pan Card
3. Aadhar Card
4. Bank Account
5. Address Proof of office
6. Copy of Ownership Proof
7. LLP Agreement