Limited Liability Partnership (LLP) Registration: Process, Fees, Documents

Starting a business in India involves choosing the right structure to balance flexibility, compliance, and liability protection. One of the best options for professionals and small businesses today is the Limited Liability Partnership (LLP). LLP merge the benefits of a partnership and a company, offering partners limited liability while allowing them to manage the business directly.

In this blog, we will explain the eligibility of Limited Liability Partnership registration, registration process, registration fees, required documents, the benefits of registering an LLP also we will explore reasons to choose our services.

Eligibility of Limited Liability Partnership Registration

To register an LLP in India, the following eligibility conditions must be met:

• Minimum partners: An LLP must have at least two partners. There is no limit on the maximum number of partners.
• Designated partners: At least two partners should be designated partners, and at least one must be an Indian resident (i.e., stayed in India for at least duration of 120 days during the preceding financial year).
• Eligible entities: Individuals, companies, or other LLPs can be partners in an LLP.
• No minors: A minor cannot become a partner in an LLP.
• Unique name: The proposed LLP name should be unique, not alike or similar to any existing company, LLP, or trademark.

Limited Liability Partnership Registration Process

Registering an LLP in India is entirely online through the Ministry of Corporate Affairs, viz. (MCA) official portal. Here is the step-by-step Limited Liability Partnership registration process:

1. Obtain Digital Signature Certificate (DSC): Each designated partner must obtain a Class 3 DSC as all documents are digitally signed during registration.
2. Application for Director Identification Number (DIN): If the designated partners do not already have a DIN, it can be applied for in the same form used for LLP registration.
3. Name reservation: File RUN-LLP (Reserve Unique Name – LLP) on the MCA website to get approval for the proposed LLP name.
4. Filing incorporation form: Submit Form FiLLiP, viz. (Form for incorporation of Limited Liability Partnership) along with the required documents, details of partners, and registered office address.
5. LLP Agreement: Within the duration of 30 days of incorporation, file Form 3 with the MCA, attaching the LLP agreement signed by all partners. This agreement defines rights, duties, and profit-sharing ratios.
6. Certificate of Incorporation: Once the Registrar verifies the documents, the LLP will receive a Certificate of Incorporation containing the LLP Identification Number (LLPIN).

Limited Liability Partnership Registration Fees

The LLP registration fees depend on the proposed LLP’s contribution amount and state stamp duty. Here’s a rough estimate:

1. Government fees:

• Contribution up to ₹1 lakh: ₹500
• Contribution above ₹1 lakh but up to ₹5 lakhs: ₹2,000
• Contribution above ₹5 lakhs but up to ₹10 lakhs: ₹4,000
• Contribution above ₹10 lakhs: ₹5,000

2. Professional fees: If you hire a professional service provider or consultant, they usually charge ₹11,000 – ₹15,000 depending on the services included.

3. Stamp duty: Varies by state; typically ranges from ₹500 – ₹2,000.

Limited Liability Partnership Registration Documents

For a smooth registration process, you need the following Limited Liability Partnership registration documents:

For partners:

• PAN card (mandatory for Indian nationals).
• Passport (for foreign nationals).
• Address proof (Aadhaar card, voter ID, or driving license).
• Passport-sized photographs.
• Email ID and phone number.

For registered office:

• Proof of address (electricity bill, rent agreement, or property ownership papers).
• No-objection certificate (NOC) from the property owner.

For the LLP agreement:

• Draft LLP agreement on stamp paper (value depends on the state).

Benefits of Limited Liability Partnership Registration

Registering an LLP in India offers numerous advantages:

1. Limited liability: Personal assets of partners are safely protected. Partners’ liability is limited as per their agreed contribution.
2. Separate legal entity: The LLP is distinct from its partners. It can own assets, sue, and be sued in its name.
3. Flexible management: No complex corporate structure; partners can directly manage the business.
4. No minimum capital requirement: Unlike private limited companies, there is no minimum paid-up capital requirement.
5. Lower compliance burden: LLPs have fewer compliance requirements compared to private limited companies, reducing annual costs.
6. Perpetual succession: The LLP continues to exist even if partners change.
7. Tax benefits: LLPs are taxed at a particular flat rate of 30% on profits. Dividend distribution tax (DDT) is not applicable.

Why Choose Us?

Choosing the right professional service makes a big difference in your LLP registration journey. Here’s why you should choose us:

• Expert assistance: Our experienced professionals handle the entire process from DSC to incorporation and agreement filing.
• Transparent pricing: No hidden charges; we offer clear packages to suit your needs.
• Fast turnaround: We complete LLP registration in 10–15 working days, subject to MCA approvals.
• Dedicated support: Our team provides updates and support throughout the process.
• Free consultation: We offer initial guidance to help you make informed decisions about your business structure...!

Conclusion

Limited Liability Partnership registration in India is an excellent choice for entrepreneurs who want the element of flexibility of a partnership with the benefits of limited liability and fewer compliance burdens. By registering an LLP, you create a professional and proper structure that inspires trust, protects your assets and also helps you to simplifies your tax and legal responsibilities.

If you’re planning to register an LLP, don’t hang back to reach out to our expert team. We ensure a hassle-free, affordable, and quick LLP registration experience.

FAQs

Q1: Can an existing partnership firm convert into an LLP?

Yes, an existing partnership firm can convert into an LLP by filing Form 17 along with the incorporation documents. The assets, liabilities, and contracts of the firm transfer to the LLP seamlessly.

Q2: Is it mandatory to audit the accounts of an LLP?

No, an audit is not mandatory if the annual turnover is less than the limit of ₹40 lakhs and the contribution does not exceed ₹25 lakhs. If either limit is crossed, the LLP must get its accounts audited.

Q3: Can an LLP be started with foreign partners?

Yes, foreign nationals or foreign companies can become partners in an LLP. However, compliance with FEMA regulations is required, and at least one designated partner must be a Indian resident.