An LLP, or Limited Liability Partnership, is a legal business structure that combines the flexibility of a partnership with limited liability protection of a company.
2.What is the minimum capital requirement for LLP registration?
There is no minimum capital requirement for registering an LLP in India. Partners can contribute capital as per the agreement, making it a flexible choice for businesses of various sizes.
3.What are the compliance requirements for LLPs in India?
LLPs have relatively minimal compliance requirements compared to companies. They must file an annual return and financial statements with the Registrar of Companies (RoC) and maintain proper accounting records. LLPs are also exempt from holding annual general meetings.
4.Can an LLP be converted into a private limited company?
Yes, an LLP can be converted into a private limited company or another business structure in accordance with the provisions of the LLP Act and the Companies Act. This allows for scalability and adaptability as the business grows.
5.What is the process for LLP registration in India, and how long does it take?
The online LLP registration process involves applying for a Digital Signature Certificate (DSC) and Director Identification Number (DIN), selecting a unique name for the LLP, and filing the incorporation documents with the Registrar of Companies (RoC). The time required for LLP registration can vary, but it typically takes around 15-20 days, assuming all documents are in order and there are no delays in the approval process.
CA, CS, CMA