Limited Liability Partnership (LLP) Registration
In short
An LLP is registered with the MCA under the Limited Liability Partnership Act, 2008 using the FiLLiP form. You need at least two designated partners, one of whom is resident in India, and a registered office. The LLP agreement must then be filed in Form 3 within 30 days of incorporation.
Overview
An LLP combines the flexibility of a partnership with the limited liability of a company. Each partner's liability is limited to their agreed contribution, and the LLP is a separate legal entity that can own property and enter into contracts.
LLPs carry lighter compliance than companies: there are no mandatory board meetings or AGM, and small LLPs (turnover up to ₹40 lakh or partner contribution up to ₹25 lakh) are exempt from statutory audit. This makes them popular with professional firms, family businesses and service businesses that do not plan to raise equity funding.
Key requirements
- Minimum two partners, with at least two designated partners who are individuals
- At least one designated partner resident in India
- A unique name ending with "LLP"
- A registered office address in India
- No minimum capital contribution
Documents required
- PAN, identity and address proof of each partner
- Passport-size photographs
- Registered office proof and owner's NOC
- Details of each partner's capital contribution and profit share for the LLP agreement
We share an exact checklist for your case before you start, since requirements vary with the structure and the people involved.
Process
Name reservation
The LLP name is reserved through RUN-LLP, or within FiLLiP.
DSC
Digital signatures are obtained for the designated partners.
FiLLiP filing
The incorporation form is filed, including DPIN allotment for new designated partners.
Incorporation
The Certificate of Incorporation and LLPIN are issued, with the LLP's PAN and TAN.
LLP agreement
We draft the LLP agreement, arrange stamp duty and file Form 3 within 30 days.
What KNAP Advisory handles
- Name search and reservation
- DSC and DPIN for designated partners
- FiLLiP filing and follow-up
- Drafting and filing of the LLP agreement (Form 3)
- Certificate of Incorporation, PAN and TAN
Frequently asked questions
What annual filings does an LLP have?
Every LLP files Form 11 (annual return) by 30 May and Form 8 (statement of account and solvency) by 30 October each year, along with its income tax return. Late filing attracts an additional fee of ₹100 per day per form.
Is an LLP or a private limited company better?
An LLP is simpler and cheaper to run. A private limited company is better if you plan to raise equity investment, issue ESOPs or apply for most investor-backed programmes. We recommend the structure after understanding your plans.
Can an LLP be converted into a company later?
Yes. An LLP can be converted into a company under the Companies Act, 2013, subject to the conditions in the conversion rules.