Limited Liability Partnership (LLP) Registration
The Concept of LLP was introduced in India in 2008 by the Limited Liability Partnership Act, 2008.It has become a preferred form of organization as it incorporates the benefits of both company and partnership firm.
The rights and duties of designated partners are governed by the LLP agreement. They are directly responsible for the compliance of all the provisions of the LLP Act 2008 and provisions specified in the LLP agreement.
Benefits and Features
- Separate legal entity from its partners, just like a company
- Limited liability of the partners to the extent of partners’ contributions
- Less compliances
- No requirement minimum capital contribution
Disadvantages of LLP
- Penalty on non-compliance
- Difficulties in raising capital
- Dissolution of LLP
LLP Registration Process
• Apply for Digital Signature Certificate (DSC)
The first step is to obtain the DSC of the designated partner. This is because all the documents are filed online and require DSC. You can get DSC by this link.
Documents required for DSC are:
- Aadhar Card/ PAN Card
- Photo
- Mobile
• Apply for Director Identity Number (DIN)
You have to obtaion the DIN of all designated partners by submitting the application for allotment of DIN in Form DIR-3.
• Name Approval
- The LLP's name is reserved using the Form LLP-RUN (Limited Liability Partnership - Reserve Unique Name) - a new web service used for the registration of LLPs.
- There is a provision for the LLP to have two proposed names.
• Incorporation of LLP
The form used for incorporation is FiLLiP(Form for incorporation of Limited Liability Partnership) which shall be filed with the Registrar who has jurisdiction over the state in which the registered office of the LLP is situated. Fees as per Annexure ‘A’ shall be paid.
The form will be an integrated form.
- This form also provides for applying for allotment of DIN, if an individual who is to be appointed as a designated partner does not have a DIN.
- The application for reservation may be made through FiLLiP too.
File Limited Liability Partnership (LLP) Agreement
LLP agreement governs the mutual rights and duties amongst the partners and also between the LLP and its partners.
- LLP agreement must be filed in form 3 online on MCA portal.
- Form 3 for the LLP agreement has to be filed within 30 days of the date of incorporation.
- The LLP Agreement has to be printed on Stamp Paper. The value of Stamp Paper is different for every state.