How to Register a LLP Company in India?

What is a LLP Company Registration?

If you're an entrepreneur and  looking to start your own business in India, then you can register your company as a Limited Liability Partnership. LLP is a well-known business type in India that provides various benefits, including protecting limited liability of partners, easy ownership transformation and simple compliance requirements. An LLp offers the advantages of a partnership with limited liability of a company that makes it a more attractive choice for many small and medium sized businesses. The LLP was first introduced in 2008 and it is regulated by the Limited Liability Partnership Act 2008. To start a LLP company it requires a minimum 2 partners and there is no upper limit. 

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What is the Process for LLP Company Registration?

A Step-by-Step Guide

LLP registration is a completely online process through the official website of the MCA (Ministry of Corporate Affairs). Also, you need to upload all the necessary documents digitally to complete the registration process. Following are the detailed steps that you need to follow  to register your company:-

 

Step 1: Apply for the DPIN of all company’s  Partners: 

The Designated Partners in an LLP are responsible for managing  its management and making important decisions on subject matters beyond daily activities business. Before you start the registration process, you need to ensure that all designated partners should have a Designated Partners Identification Number (DPIN). It is a unique number allotted by the government to the LLP partners. You need to file an application in DIR 3 form through the Ministry of Corporate Affairs website. 

 

Step 2: Get DSC of all Partners : 

To establish a LLP company, you need a digital signature of the authorised designated partner of your company. For this, two partners can be authorised by all the other partners of the LLP. DSC documents need to be uploaded on the government MCA website to complete the registration process. So, it is recommended that all partners get the prescribed class of DSC beforehand. 

 

Step 3: Approval of the Company Name : 

As a next step, you need to select the company name according to the guidelines mentioned in the Trademark Act, Companies Act and the names and Emblems Act. Your company name should be unique, original and represent your business work. If your name is similar to other companies' names then it'll get rejected. Your LLP selected name needs to be reserved with the Registrar of the company, for this you need to fill the RUN-LLP form. In this you need to provide at least two names for your company that will be verified by the ROC. If your company name found valid will be reserved  or approved for your LLP.  If your proposed name gets rejected you don’t need to worry about it as ROC also provides two chances of submitting the name. Once your LLP name gets approved, an approval letter will be released to the LLP which is valid for 90 days. The applicant needs to complete the LLP registration process within these 90 days only. 

 

Step 4: Apply for LLP Registration : 

As the next step you need to fill the application to complete the registration. The applicant needs to visit the official government website of the Ministry of Corporate Affairs. You must provide all the detailed information of the company including the names, addresses, and capital contribution of all partners, and DPINs of all designated partners, the name and address proof of the LLP, and other information.

 

To confirm these information you need to upload these necessary documents:-

 

Documents of Partners

• PAN Card/ ID Proof of Partners 
• Residence Proof of Partners
• Photograph 
• Passport (in case of Foreign Nationals/ NRIs)
• Address Proof such as driving license, bank statement, residence card, or any government-issued identity proof containing the address.

 

Documents of LLP

• Proof of Registered Office Address
• No-objection certificate has to be submitted.
• Latest bill like gas, electricity, or telephone bills 
• Digital Signature Certificate

 

Step 5: Pay the requisite fees and retaining the SRN

Once you submit your registration application form, you will be transferred to the payment page. You need to pay the given fees then a challan will be generated along with a Service Request Number (SRN). You must keep the challan safely for your future preference. If your application form gets approved by the MCA then you will get an email and the status of your form will be changed to Approved. 

 

Step 6: Obtain the Certificate of Incorporation

After you submit the application then it will be examined by the ROC. If you filled your application with accuracy and uploaded the authentic documents then ROC will approve the application and register your LLP. At last the ROC will issue a certificate of registration for your LLp company. You can download this certificate from the MCA website. 

Step 7: Submission of the LLP Agreement

The foundation of an LLP company registration is based on the deed or mutually signed agreement by its partners, This LLP agreement needs to be stamped by a public notary. Agreement must be submitted to the  Registrar of Companies within 30 days from the establishment of the LLP. 

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What is the Eligibility for LLP Company Registration?

To register your company as a Limited Liability Partnership (LLP) company in India then you need to fulfil these eligibility criteria:

• A Limited Liability Partnership in India should have at least two partners. However, you can have a maximum number of partners in this company. 
• If a corporate body is a partner, it must be a natural person.
• Obtaining a Digital Signature Certificate is necessary documents for all company’s directors.
• The company should select a unique and different  name that should not duplicate any existing companies.
•  In LLP every partner must agree to contribute the capital to the company. 
• One of the company’s partners needs to be a resident of India.
• All partner's ages should be 18 to 65. 

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What are the Benefits for LLP Company Registration?

• Partners Limited Liability :- The LLP partners have limited liability. All company’s partners ' liability is limited to the amount they contributed to the company. 
• Low budget  and less compliance:-  LLp company needs a low budget at the time of its formation as compared to starting a public or private limited company registration.
• No requirement of minimum capital contribution:- You can establish a LLP company without any capital as it does not need a minimum capital requirement.  
• Separate legal entity:- A Limited liability partnership provides a separate legal entity. This distinction provides both the LLP and its partners different legal status.

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