LLP Registration
Limited Liability Partnership - lower compliance than a company, limited liability for partners, suited to professional services and firms without equity-fundraising plans.
Requires at least 2 partners, with no upper cap - unlike a private company's 200 shareholder limit.
No mandatory board meetings or as many statutory registers as a company.
Most investors and equity frameworks are built around companies, not LLPs.
The LLP agreement, not statute, governs most partner rights and obligations - draft it carefully.
Registration and the LLP agreement, done right.
LLP name reservation and Designated Partner Identification Number for all partners.
Incorporation document filed with the Registrar of Companies.
Profit-sharing, decision-making authority and partner exit terms documented clearly.
PAN/TAN allotment and bank account opening support.
Part of Layer 1 - Entry, for New Company Setup.
Common questions
Not easily - LLPs are structured around partnership interests rather than shares, and most VCs, angel investors and equity incentive frameworks are built specifically around a company's share-based cap table. If a priced equity round is likely, converting to or starting as a Private Limited Company is usually the better path.
Yes - without a written LLP agreement, default provisions under Schedule I of the LLP Act apply, which rarely reflect the actual understanding between partners. A proper agreement covers profit-sharing ratios, capital contribution, decision-making authority, admission and exit of partners, and dispute resolution.
LLPs avoid dividend distribution tax since partners are taxed directly on their share of profits, and there's no separate corporate-level taxation on distributed profits the way there is for a company - this can be more tax-efficient for professional services firms, though the comparison depends on your specific profit levels and reinvestment plans.
A minimum of 2 partners is required, with no upper limit on the maximum number - unlike a Private Limited Company's 200-shareholder cap. At least 2 partners must be designated partners with a DPIN, and at least one designated partner must be an Indian resident.
Typically 10–15 working days from name reservation through FiLLiP filing and Certificate of Incorporation, assuming DPINs and DSCs for all designated partners are in place.
An LLP must file Form 8 (Statement of Account and Solvency) and Form 11 (Annual Return) each year with the Registrar, along with income tax returns - lighter than a company's compliance load, but still mandatory regardless of turnover.