Among all the types of registration, LLP Registration is the preferable kind of organization as it amalgamates the advantages of both the company and partnership firm into a single form of organization. LLP is done under the Limited Liability Partnership Act, 2008 and the Limited Liability Partnership (LLP) Rules, 2009. Here in this article, we will see in detail the procedure of the LLP Registration.
What does LLP Mean?
LLP means Limited Liability where the liability of each partner is limited to the contribution made by the partner. Also, there is less compliance and regulations, and the cost of forming an LLP is low. The minimum number of partners required to incorporate an LLP is 2. Among all these partners, a minimum of two partners should be designated. Also, one partner should be a resident of India. There is an agreement called LLP Agreement which governs the rights and duties of these designated partners.
Documents Required For The Incorporation of an LLP
Different documents are required for the partners as well as LLP.
- Documents of Partners
- PAN Card or ID proof of the partners.
- Address and Residence proof of the partners.
- Photographs of the partner.
- Passport (In case the partner is from other nation).
- Documents of LLP
- Proof of registered office address
- Digital signature certificate
What is The Process of Registration of an LLP?
1. Obtain the DSC (Digital Signature Certificate)
To initiate the process of registration, you need to apply for the Digital Signature of the designated partners of the proposed LLP. The Designated partner has to obtain their digital signature certificates from the certified government agencies. The list of certified agencies is given as:
- National Informatics Center (NIC)
- IDRBT Certifying Authority
- SafeScrypt CA Services, Sify Communications Ltd.
- Code Solutions CA
These different agencies charge different costs for obtaining the DSC.
2. Apply for DIN (Director Identification Number)
After obtaining the DSC, you need to apply for the DIN of all the designated partners and for those who intend to be the designated partner of the proposed LLP. There is a FORM named DIR-3 for through which the application for the allotment of DIN is made. When you apply for the DIN, you need to attach the scanned copy of documents such as your Aadhar Card or PAN card. The form has to be signed by a CS (Company Secretary) who is a full-time employee of the company or any of the Managing Director, CEO/CFO of the existing company.
3. Name Reservation
For reserving the name of the LLP Company, LLP-RUN is filed the Central Registration shall process which under the NON-STP. There is a provision to apply for two proposed name of the LLP. You need to check the availability of the name of your LLP on the MCA Website. The name must be different from any of the existing company names; then only the Registrar will approve the name. In case, the name is approved, the form RUN-LLP is accompanied with fee as per the Annexure “A”. In case, the name is rejected, the re-submission of the new name must be done within 15 days.
4. Incorporation of The LLP
- After the successful approval of the name of your LLP, a Form called FiLLiP (Form foe Incorporation of limited liability partnership) is filed. This form is filed with the Registrar of the state in which the registered office of the LLP is registered.
- The fee is paid in accordance with the provisions mentioned in the Annexure “A”.
- If an individual who is to be appointed as a designated partner does not have a DPIN or DIN, the Form FiLLiP provides the allotment of DPIN.
- Two individuals are allowed to apply for the allotment of DPIN.
- For reserving the name, the application must be made through FiLLiP.
- If the name that you have applied for has been approved, then the approved and reserved name must be filed as the final proposed name of the LLP.
5. File Limited Liability Partnership Agreement
These steps are the after company incorporation steps. The applicant needs to submit the partnership agreement in FORM-3 on the MCA portal within 30 days of the Incorporation of the LLP.
6. File PAN Application
After the LLP registration is completed, the applicants have to fill the PAN application for the LLP by providing all the details and relevant documents.
LLP Company Registration in India is a simple and easy process and usually takes 10-15 days to complete. It totally depends upon how fast you provide the relevant documents and how smoothly the government is working for the procedure. A Limited Liability firm is the most common vehicle to carry the business and one of the ways to enjoy the benefit of a corporate entity in a limited partnership manner.
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