Limited Liability Partnership

LIMITED LIABILITY PARTNERSHIP (LLP)

A Limited Liability Partnership (LLP) is a form of partnership in which partners enjoy limited liabilities. Therefore, it can demonstrate the specialties of partnerships and corporations. In LLP, some or all partners have a form of limited liability similar to that of shareholders of a corporation. Unlike shareholders in a company, the partners have the right to manage the business directly. In contrast, shareholders must elect a board of directors under the Companies Act to manage the company. The LLP is more conducive for businesses in which all investors desire to take an active role in management. In India, Limited Liability Partnership is controlled by the Limited Partnership Act 2008, which has been in operation since 31st March 2009.

Characteristics of LLP

  • Limited Liability Partnership Agreement
  • Limited Liability
  • MCA and ROC
  • Management
  • Partnership Act, 1932
  • Minimum partner

As per the Limited Liability Partnership Act 2008, “Limited Liability Partnership” means a partnership formed and registered under this Act. In Limited Liability Partnership, the partner is free from personal liability and he shall be liable to the extent of their capital contribution in the LLP.

Limited Liability Partnership Agreement

Limited liability partnership agreement means any written agreement between the partners of limited liability partnership or between the limited liability partnership and its partners which determines the mutual rights and duties of the partners and their rights and duties concerning that limited liability partnership.

Limited Liability

As the name suggests, the liability of the partners in Limited Partnership is limited to the extent of capital contributed by the partners.

MCA and ROC

Though Limited Liability Partnership is distinct from Company, it is governed by the Ministry of Corporate Affairs. Its application for registration is to be made with the Registrar of Companies of the relevant state.

Management

The limited liability partnership is managed by its designated partner

Partnership Act, 1932

Limited Liability Partnership is different from a Partnership Firm registered under Partnership Act, 1932. Hence, the Partnership Act 1932 does not apply to Limited Liability Partnership.

Minimum partner

There must be at least two partners in a limited liability partnership.

Advantages of LLP

Separate Legal Entity

The LLP is regarded as a legal person. It means an LLP can own property, buy, lease, rent, enter into a contract, and employ staff.

Minimum Capital

In the case of limited liability partnership, there is no need for minimum capital contribution.

Partner

A partner in LLP can be any individual or body corporate.

Designated partner

Every limited liability partnership shall have at least two designated partners who are individuals and at least one of them shall be a resident of India.

DPIN

Every designated partner of a limited liability partnership shall obtain a Designated Partner Identification Number (DPIN) for which application can be made to ROC.

Profession

The format of limited liability partnership is chosen by professionals like Company Secretaries, Charted Accountants, Cost Accountants, Advocates, or Engineers.

Flexibility

The operation of the LLP and the distribution of profit is decided by a written agreement among the partners. Reservation of Name By registering the LLP on the MCA portal, you can protect the name of your LLP from getting copied from any other company.

Frequently asked
questions

Welcome to Regitimate, your trusted partner for a wide range of business and legal services. If you don't find the information you're looking for here, feel free to contact us directly for personalized assistance.
  • How can Regitimate help me with company registration?
    We assist in the entire company registration process, from choosing the right business structure to preparing and filing the necessary documents. Our experts will guide you through the process to ensure compliance with all relevant laws and regulations.
  • Are your services available to individuals and businesses of all sizes?
    Yes, we cater to both individuals and businesses, regardless of size. Our services are designed to meet the needs of startups, small and medium-sized enterprises (SMEs), and large corporations.
  • What compliance services does Regitimate provide?
    Regitimate helps your business stay compliant with various regulations and requirements, such as annual filings, licenses, permits, and more. We offer ongoing support to ensure your business operates within the legal framework.
  • Can Regitimate handle my tax filings?
    Yes, we offer tax filing services to individuals and businesses. Our tax experts will ensure accurate and timely filing to help you minimize your tax liability while remaining compliant with tax laws.
  • How does Regitimate assist with Intellectual Property (IP) services?
    Our IP services include trademark registration, patent filing, copyright protection, and IP strategy development. We help safeguard your intellectual property assets and provide legal guidance in case of infringement issues.
  • What types of legal documentation does Regitimate prepare?
    We can help you with a wide range of legal documentation, including MOU’s, Agreements & Wills. Our legal experts ensure that your documents are well-drafted and legally sound.
  • What property-related services does Regitimate offer?
    Our property-related services cover property transactions, lease, property registration & verification, Succession & Legal Heir Certificate.
  • How can I get started with Regitimate services?
    To get started, simply contact us through our enquiry form, email, or phone. Our team will assess your needs and guide you through the process of selecting and customizing the services that best suit your requirements.
  • Are your fees competitive, and do you offer customized service packages?
    We offer competitive pricing for our services, and we can create customized service packages tailored to your specific needs and budget. Contact us for a personalized quote.
  • Is Regitimate compliant with data protection and confidentiality standards?
    Yes, we take data protection and confidentiality seriously. We adhere to all relevant data protection laws and have strict confidentiality measures in place to safeguard your sensitive information.
  • How can I reach Regitimate's customer support for assistance?
    You can reach our customer support team by visiting our website's contact page, sending an email, or calling our dedicated customer support hotline.
  • Culpa Nam illum im
    Quis ut natus aspern

GEt A Free
Consultation

TRUSTED COMPANIES

The driving force behind our success, each with a unique story of growth and achievement.

Speak With Our
Experts Today!

Book a Consultation