Start Business
Start Business
Registration & License
Registration & License
Trademark Filing
Trademark Filing
Goods & Service Tax
Goods & Service Tax
Income Tax
Income Tax
MCA Services
Tender Registration
Tender Registration
Others
Limited Liability Partnership (LLP) Registration in India
We have Price Starting from Only ₹
Contact Us Or Call Now 
Best & Reasonable Plans
Smart solutions,fair prices - your success starts with the Innovative solutions, competitive pricing – your journey to success begins with the perfect balance for growth!
Starting a Limited Liability Partnership (LLP) in India
To start an LLP in India, obtain Digital Signature Certificates (DSC) and Director Identification Numbers (DIN) for designated partners. Reserve a unique LLP name through the MCA portal and file the FiLLiP (Form for LLP Incorporation) with necessary documents. After incorporation, draft and submit the LLP Agreement within 30 days. Apply for PAN, TAN, and GST registration and open a business bank account. Ensure compliance by filing annual returns (Form 11, Form 8) and income tax returns (ITR-5) to keep the LLP legally operational.
Key Features of Limited Liability Partnership
- • Partners are not personally liable for the LLP’s debts or the actions of other partners. Their liability is limited to their agreed contribution.
- • An LLP has its own legal identity, meaning it can own property, enter contracts, and sue or be sued independently of its partners.
- • Unlike companies, LLPs do not have a strict corporate structure, allowing partners to manage the business as per the LLP Agreement with fewer compliance requirements.
What Is A Limited Liability Partnership?
A Limited Liability Partnership (LLP) is a business structure that combines the flexibility of a partnership with the limited liability protection of a company. This means that while partners share management responsibilities, their personal assets remain protected from the debts and legal liabilities of the business.
Eligibility Criteria for LLP Registration in India
- ✔ Minimum of Two Partners An LLP must have at least two partners, with no upper limit on the maximum number of partners.
- ✔ Designated Partners A minimum of two designated partners is required, and they must be individuals. At least one of them must be a resident of India.
- ✔ Corporate Partner Representation If a body corporate is a partner in the LLP, it must appoint a natural person as its representative.
- ✔ Capital Contribution Each partner must contribute capital as agreed in the LLP agreement.
- ✔ Minimum Authorized Capital A minimum authorized capital of ₹1 lakh is required for LLP registration.
- ✔ Indian Resident Partner Requirement At least one designated partner must be an Indian resident as per the regulatory guidelines.
- ✔ Minimum Authorized Capital A minimum authorized capital of ₹1 lakh is required for LLP registration.
Limited Liability Partnership (LLP) Name Structure
Select a distinctive name that is not already in use by other businesses, as this simplifies approval and helps build a unique identity. Use words that clearly reflect your business activities, making it easier for people to understand your products or services. Ensure that your LLP name ends with "LLP" or "Limited Liability Partnership," as this is a mandatory requirement to indicate your business structure and complete the registration process.
Silent Features
No Compulsory Audit
Designated Partners Requirement
Foreign Investment (FDI) Allowed
Recognition as a Legal Business Structure
Perpetual Succession
Less Capital Requirement
Advantages of a Limited Liability Partnership
A Limited Liability Partnership is a widely preferred business structure in India due to its numerous benefits. Here’s an overview:
- Limited Liability Protection : Partners' personal assets are protected, as they are only liable for their agreed contribution.
- Separate Legal Entity : The LLP has its own identity, allowing it to own assets, enter contracts, and continue existing even if partners change.
- Less Compliance and Tax Benefits : LLPs have lower compliance requirements and benefit from pass-through taxation, avoiding double taxation.
- No Minimum Capital Requirement : An LLP can be started with any amount of capital, making it cost-effective for startups and small businesses.
- Flexible Business Structure : Unlike companies, LLPs do not have a strict corporate hierarchy, allowing partners to manage operations as per the LLP Agreement.
- Easy Ownership Transfer : Partners can transfer ownership rights as per the LLP Agreement, ensuring business continuity.
Disadvantages of a Limited Liability Partnership
While a Limited Liability Partnership offers several benefits, it also comes with certain challenges:
- Limited Fundraising Options : LLPs cannot raise funds from the public or issue shares, limiting capital expansion.
- Restrictions on Business Activities : LLPs cannot operate in certain sectors like banking, insurance, or finance.
- Higher Penalties for Non-Compliance : Failure to file annual returns or financial statements results in heavy penalties, even for inactive LLPs.
- Foreign Investment Restrictions : While LLPs allow FDI, they have stricter regulations compared to private limited companies.
- Difficult to Convert into a Company : Converting an LLP into a private or public limited company is a complicated and time-consuming process.
- Taxation on Profit Withdrawal : Unlike companies, LLPs do not get tax benefits on reinvested profits, as all earnings are distributed among partners and taxed accordingly.
Documents Required
A Permanent Account Number (PAN) is mandatory for all designated partners during LLP registration.
Documents like Aadhaar Card, Voter ID, Passport, or Driving License serve as identity and address proof.
Submit electricity bill, water bill, or property tax receipt (not older than 2 months) along with a NOC (No Objection Certificate) from the property owner.
Since LLP registration is done online, all designated partners must have a DSC issued by a government-approved authority.
Director Identification Number (DIN) Required for all designated partners, obtained during registration through the MCA portal.
A legal document outlining the roles, responsibilities, capital contributions, and profit-sharing ratio among partners. It must be filed within 30 days of incorporation. etc..
Step-by-Step Guide The Process
Here are 4 steps to complete your process
Step 1
Obtain a Digital Signature Certificate (DSC)
Step 2
Director Identification Number (DIN)
Step 3
Name Reservation (RUN-LLP Form)
Step 4
Filing of Incorporation Form (FiLLiP)
Step 5
Draft and File LLP Agreement
MCA Compliance Requirements for Limited Liability Partnership
Every Limited Liability Partnership must adhere to compliance requirements at the end of each financial year. These obligations generally include auditing financial records, filing income tax returns, and submitting annual forms to the Ministry of Corporate Affairs (MCA). Failure to comply can result in significant penalties, late fees, or other legal consequences.
| Form | Compliance Requirement | Due Date | Penalty |
|---|---|---|---|
| LLP Form 3 | Filing of LLP Agreement | Within 30 days of incorporation | ₹100 per day for delay |
| LLP Form 8 | Statement of Accounts & Solvency | 30th October every year | ₹100 per day for delay |
| LLP Form 11 | Annual Return Filing | 30th May every year | ₹100 per day for delay |
| DIR-3 KYC | KYC of designated partners | 30th September every year | ₹5,000 late fee per partner |
| Income Tax Return (ITR-5) | Filing LLP’s Income Tax Return | 31st July (if not audited) / 30th September (if audited) | Late fee of ₹1,000 to ₹10,000 |
Empowering Your Business to Stay Ahead
Ensuring excellence in every aspect of business operations
Helping businesses to stay ahead of the competition effectively
Providing expert guidance for long-term business growth
