What is an LLP?
A hybrid between partnership and company offering limited liability with operational flexibility.
Advantages
- For consulting & early-stage ventures, Professional Service Providers etc
- Flexible operations
- Lower compliance than company
- No mandatory board meetings
Promoters are called
- Partners
- Designated Partners
Structure Requirements
- Minimum Partners: 2
- Maximum Partners: No limit
- Minimum Designated Partners: 2
- Capital: No minimum requirement
NRI / Foreign Participation
- Allowed subject to FEMA
- At least one resident designated partner required
Meetings
- No mandatory board/shareholder meetings.
Remuneration
- Partners can draw remuneration as per LLP agreement.
Statutory Compliance
- Maintain books of Accounts
- File Form 8 & Form 11 annually
- Statutory, GST and Tax Audits mandatory if turnover exceeds threshold
Income Tax
- Taxed at 30%
- No dividend distribution tax
FORMATION OF LLP (LIMITED LIABILITY PARTNERSHIP)
CORE SERVICES (Rs. 5,999)
- NAME APPROVAL
- DSC FOR ALL DESIGNATED PARTNERS
- PARTNERSHIP AGREEMENT DRAFTING
- DPIN FOR DESIGNATED PARTNERS
- APPLICATION PREPARATION
- ATTESTATION BY PROFESSIONALS (CA/CS/CMA)
- PAN & TAN & CERTIFICATE OF INCORPORATION (CIN)
OPTIONAL SERVICES (Additional Fee)
- GST REGISTRATION
- BANK ACCOUNT OPENING ASSISTANCE
- INITIAL COMPLIANCE FILINGS
- TRAINING ON COMPLIANCE
- ACCOUNTING
- GST FILING
- MONTHLY COMPLIANCES
- ANNUAL INCOME TAX FILING
- ANNUAL MCA FILING
- AUDIT FACILITATION
- VIRTUAL CFO SERVICES
- OFFICE SPACE/CO-WORKING FACILITY