LLP in India - PDF

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					Company Incorporation


LLP Incorporation


Branch Office & Liaison Office


Business Startup services




BENEFITS OF LLP
Limited Liability Partnership
                                                                              Limited Liability Partner-
ship (LLP), as a new form of business organization, started functioning in India from the year 2009, by vir-
tue of Limited Liability Partnership Act, 2008. The LLP structure offers limited liability protection, lower
tax deductions, lesser compliance requirements and greater flexibility in management. This simplicity of
structure and user friendly nature makes LLP an ideal choice for entrepreneurs. Since its introduction,
over “2900” LLP’s have been registered across the country showing its popularity among entrepreneurs



CompaniesInn LLP Services
CompaniesInn through its dedicated professionals has vast experience in the
field of business incorporation in India. Our one‐stop solution brings to-
gether all the external requirements and services required in the incorpora-
tion process under one roof. We can help you incorporate your LLP or con-
vert an existing business into LLP from the comfort of your home or office.
Our registration process has already helped many customers in achieving
quicker turn‐around‐times in incorporating their business without losing
quality and that too at an affordable price. Use of standardized processes and
information technology enables us to offer the incorporation service at a fee
much below the usual market rates. For detailed information on our service
charges      (inclusive     of     Government         Fees),   please     visit
www.companiesinn.com.




Offline and Online registration

If you prefer face-to-face interaction in the registration process, we have offices in major cities all over In-
dia (details mentioned on back cover page). Else you can avail our services through phone or online from
the comfort of your home or office.

       •   For online incorporation, visit our website www.companiesinn.com. Fill in the particulars
           about the LLP you want to register and proceed to place the order. The well explained steps
           will help you complete your order in less than 5 minutes.

       •   For offline registration of your LLP, fill the questionnaire given along with this booklet and
           deliver the same at any of our offices.

Our dedicated professionals will complete all the formalities to get your LLP registered. You can also get
your LLP agreement customized. At an affordable additional charge, we can also help you to obtain your
LLP’s Tax Numbers (PAN & TAN) and other Central and State Government registrations, to comply with
the various laws governing business establishments in India.
Why LLP is a more attractive structure to do Business?

Limited liability Protection: Liabilities of partners in an LLP are
limited to the agreed contribution. If X is a partner in LLP Y, and if X
agreed to contribute Rs.10000 into the capital of LLP, his liability is lim-   Partner’s Personal
ited to Rs.10000. He is not personally responsible for the debts of the
LLP. So doing business through LLP structure provides safety to his
                                                                               Assets are Protected
personal assets as the liability of LLP shall not be extended to his per-      from Business Risk
sonal properties




Efficient tax saving business form: In the eyes of tax laws, LLP
is a firm and hence firm taxation is applicable to LLP. Various taxes
levied on a Company, like Minimum Alternative Tax, Dividend Distri-            Your tax saving in
bution tax and surcharges are not applicable to an LLP. The profit after
tax from LLP’s operation will be reflected in the personal income of
                                                                               LLP will be around
partners. It is estimated that the approximate tax savings of an LLP will      18%
be around 18% compared to that of a company.




Management: In companies, the management is vested with its                    Freedom of Man-
Board of Directors. They are responsible for taking the day to day deci-
sions and management of a company. Shareholders have limited pow-              agement and deci-
ers in the affairs of a company. In LLP, management of LLP is vested
with partners unless specifically maintained in the LLP agreement. It is
                                                                               sion making. No ex-
possible for an LLP to delegate all powers of management to a single           ternal authority in-
person except compliance requirements under the LLP act, which are
the responsibilities of Designated Partners.                                   tervention



Less Compliance Requirements: Compared to a company, the                       Free from      legal
legal compliance requirements are lesser for LLP’s. For a company, it is
mandatory to maintain various registers, minutes etc, but there is no          compliances
such requirement for an LLP.




Audit of accounts: All companies are required to appoint a Char-               You certify your ac-
tered Accountant as auditors for auditing accounts, irrespective of the
size and operation of the company. In case of an LLP, the audit require-       counts & returns.
ment starts only if the turnover exceeds Rs.40 lakhs or contribution ex-
ceeds Rs.25 lakhs.
Why LLP is a more attractive structure to do Business?

Less cost of maintenance: Statutory filing fees payable by an LLP
are much less compared to a company. So even small business can
think of incorporating their firm as running costs are very low.             Save Running cost




Management flexibility: LLP is free to take any business decisions
subject to the LLP agreement. It can enter into a contract with its part-
ner or relatives of partners and borrow and make loans to outsiders.         Decide who manage
But in a company structure, many of these decisions need either the
permission of the shareholders or approval of government authorities,
                                                                             you show
for which the process is cumbersome




No ownership restrictions: In a private company, the number of               Can have any num-
shareholders is limited to 50. There is no such restriction in the case of
an LLP. An LLP can have any number of partners and thus can secure           ber of Partners
more capital for its business operations.




Greater credibility: By virtue of being a registered entity under            Internationally    ac-
Government laws, registering your business as an LLP, will gain your
business better legitimacy and greater credibility when dealing with         cepted model
other companies, banks and potential business partners.




CompaniesInn is the ideal partner for your business incorporation and regulatory compliance ser-
vices. When you’re ready to form your LLP, visit us online at www.CompaniesInn.com. Fill in the
particulars about the LLP you want to register and proceed to complete your order. Alternatively call
us at any of the CompaniessInn offices mentioned on the back page to incorporate your LLP through
our offline registration service.
Contact Information
Corporate Office—Bangalore

CompaniesInn.com India Private Limited
# 48, 2nd Block , 100Ft Road ,
Opp. Kendriya Sadan, Koramangala,
Bangalore—560 034
+91 80 3025 5900,
info@companiesinn.com

Delhi

F-129, First Floor, Aditya Arcade ,
Community Centre ,
Preet Vihar,
Delhi – 110092.
+91 11 - 4735 0175
delhi@companiesinn.com

Mumbai

# 285, 2nd Floor,
Powai Plaza, Hiranandani Gardens
Mumbai—400076
+91 22 3072 6859
Mumbai@companiesinn.com

Chennai

# 374A, 3rd Floor, Kaveri Complex,
No.96, Nungampakam High Road,
Chennai – 600 034
+91 44 3246 0138
chennai@companiesinn.com

				
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Description: LLP Registration India, LLP benefits