Limited Liability Partnership (LLP) registration a preferred form of organization among entrepreneurs, as it incorporates the benefits of both the partnership firm and the company. The minimum number of partners to include an LLP is 2. There is no maximum limit on the maximum number of LLP partners. Among the partners, there should be at least two designate partners who should be individuals, and at least one of them should reside in India. The rights and duties of designate partners are taking care by the LLP agreement. They are directly responsible for complying with all the provisions of the LLP Act 2008.
Documents required for LLP Registration in Hyderabad
LLP registration in Hyderabad needs the following documents.
- Partners PAN card / ID proof
- Proof of partners
- LLP registration in Hyderabad needs Proof of residence of partners
- Passport (in case of foreign nationals / NRIs)
- LLP registration in Telangana requires the Proof of registered office fee address
- Digital signature certificate
Steps for LLP registration
Step 1: Certificate of Digital Signature (DSC)
One must apply for the digital signature certificate of the designated partners of the proposed LLP. This is because all the documents for LLP are filed online and need to be digitally signed.
Therefore, the designated partner must obtain their valid digital signature certificates from certified agencies recognized by the government. Here is a list of such certified agencies. The cost of obtaining a DSC varies depending on the certifying agency. Also, you should get Class 2 or Class 3 category of DSC or you can click here and let the Cleartex expert get the DIN for you. If you go for a limited liability partnership company registration with Cleartex, the plan covers 2 DINs and does not require a separate application for DINs.
Step 2: Director Identification Number (DIN)
You will need to apply for the DIN of all designated partners or those who wish to be designated as partners of the proposed LLP. The application form for allotment of DIN should be made in DIR-3. You must attach a scanned copy of the document (usually the base and page) to the form. This form must be signed by the Company Secretary in full time employment of the company or by the Managing Director / Director / CEO / CFO of the existing company in which the applicant will be appointed as a director.
Step 3: Name reserve
An LLP-Rune is filed for the reservation of the name of the proposed LLP, which can be processed by the Central Registration Center under Non-STP. But before quoting the name in the form, it is recommended that you use the free name search feature on the MCA portal. The system will provide a list of close similarities to the names of existing companies / LLPs based on the filled search criteria.
This will help you choose names that do not already exist. If the Registrar approves the name only when the name is not undesirable in the opinion of the Central Government and no existing partnership is like a firm or LLP or corporate corporate or trademark. Form RUN-LLP should be accompanied by a fee as per attachment ‘A’ which may be approved / rejected by the Registrar. Re-submission of the form will be allow within 15 days to rectify the defect. There is a provision to give 2 suggested names of LLP.
Step 4: Incorporate LLP
The form used for the investment is Phillipi (Form for Limited Liability Partnership) which will be filed with the Registrar who has the jurisdiction of the state in which the registered office fee of the LLP is located. The form will be a unified form.
Fees will pay as per attachment ‘A’.
This form also provides for application for DPIN allotment, if the person to be appoint as a designate partner does not have DPIN or DIN.
The application for allotment will be made by two persons only.
Reservations can also be applied for through FLLP.
If the name applied for is valid, this valid and reserved name will be filled in as suggested name of LLP
Step 5: File a limited liability partnership agreement
- The LLP Agreement governs the mutual rights and duties between the partners and between the LLP and its partners.
- The LCF agreement must be submit in the form online in the online form on the MCA portal.
- Forms for LLP Agreement must be fill within 30 days from the date of insertion.
- The LLP agreement will have to be print on stamp paper. The value of stamp paper is different for each state.
Features of LLP Registration
Features of LLP registration in Secunderabad are as follows.
1.Separate Legal Entity: LLP also has a separate legal entity. So partners and LLPs are different from each other. This is like a company where the director is different from the company.
2. No Minimum Capital Requirement: In case of companies there should be minimum capital which should be brought by the members or owners who want to form it. But starting a LLP does not require a minimum capital.
3. Minimum members: At least two members are initially require to start a limited liability partnership. There is no limit on the maximum number of partners.
4. Mandatory audit debit is not require: All companies, whether private or public, are require to audit their accounts regardless of their share capital. A limited liability partnership is require to audit only if:
5.LLP contributions of ₹ 25 lakhs or more
6.The annual turnover of LLP is more than 40 lakhs
Following are the benefits of LLP registration in Hyderabad
1.It is much easier to configure the internal structure of the LLP. By comparison, configuring a company’s internal structure is complex.
2. There is no maximum limit for the number of partners in an LLP. In a private limited company, the shareholders are limited to 200 shareholders.
3. Funding and use is based on the will of the partners. Funds can only be purchase and use as per the norms listed under the Companies Act, 201.
4. LLP is exempt from Dividend Distribution Tax (DDT). In contrast, the company has to pay DDT on dividend distribution.
5. Professionals such as Chartered Accountants, Cost Accountants (CMAs), Advocates, Engineers and Doctors may choose to register as an LLP.