Why is the LLP Registration Process Important for Your Business?

To increase the capability of the business partners to operate efficiently and maximise their profits, getting the services of LLP Registration in Delhi NCR is the best choice. It is a multifaceted organisation that is recognised on a legal basis. It works by operating with the partners and restricts their liability regarding other business partners' conduct.

Why is an LLP Agreement Required?

Registration of a limited liability partnership is executed as per the legal contract that is enforceable and introduced by the members of a partnership. It is the aim of this document to encourage a business relationship on the basis of good faith between the partners, along with protecting their rights and interests individually and the LLP collectively.

No organisation has a legal obligation to register a general partnership. However, an LLP agreement should be done before going further with any service regarding LLP Registration in Delhi NCR.

Mandatory Documents for Registering Your LLP

The required documents for having your LLP registered are mentioned below-

• Latest passport-size photo of all the partners.
• Partner's PAN card.
• Identity proof of every partner. (For ex- Aadhar card, Passport, Driving licence, Voter ID card).
• Specimen signature of all the partners.
• Address proof of all the partners. It can include a bank statement or passbook, aadhar card, electricity bill or any other utility bill.
• Copy of mobile bills, telephone bills, electricity bills and bank statements with the current area of residency of all the partners.
• Registered evidence of office address, which can include electricity bill with rent agreement and ownership proof of the said registered office.
• The LLP agreement with the stamp paper of the state where the LLP will be consolidated.

Need for LLP Registration Process

Certain limitations are present while consolidating an LLP. They are as listed below-

1. The registration of an LLP must be done by at least two people. Although, there is no limitation on the maximum number of partners.

2. In the case of an LLP, funding is usually dependent on the business requirements and the contribution of the partnership to the business. The stamp duty on the deed is dependent upon the number of funds. No minimum set fund requirement is there to do business.

3. One of the assigned partners should be an Indian resident, at least.

Evaluating the viability of LLP consolidation criteria can be done by going through a number of reasons, as listed below.

Reasons to Register an LLP

A few reasons to register an LLP are-

• By Leveraging the Ease of Functionality of an Organization

A major advantage of an LLP is that it can be easily set up and administered. It requires less paperwork. Despite being similar to enterprises in the sense that they operate without the outside influence of their partners, they are registered at a cheaper cost.

• Reduced Compliance and Tax Load

The yearly compliance on the Registrar of companies in an LLP is less than in a private limited firm due to the lack of an obligatory mandatory audit. Furthermore, its regulatory compliance is extremely less than in an organisational structure. Also, the dividend tax is absent in an instance of an LLP.

• Creation of a Distinct Legal Association Which Restricts Your Liability

Partners' liability in an LLP is restricted to their contribution. Also, it is a legal association that is separate from its partners. Both can sue each other. It continues to operate even after the passing of a partner. The ownership of an LLP is transferable to another individual as long as they are an assigned partner there.

Process of Online LLP Registration

To continue with online Company Registration in Greater Noida regarding LLPs, follow the steps listed below-

Step-1- Acquire a Digital Signature Certificate

A digital signature certificate of the assigned individual from the said organisation must be acquired before applying for the process of LLP registration. The key reason to acquire it is that all the documents regarding it are filed online.

Step-2- Putting up a DIN Application

The next step consists of putting up an application regarding the Director Identification Number of each assigned individual of the said LLP. DIN can be applied for by filling out Form DIR-3 and with the attachment of the scanned copies of the Aadhar card and PAN on it.

Step-3- Name Reservation for the LLP

The third step includes reserving a name for the LLP, which will be verified by the Central Registration Centre. Always ensure that the name you are going to use is available or not. The system on the MCA portal will provide recommendations of other names that closely match the name you are searching for if the latter is not available.

It provides a great deal of help in selecting a unique name, which will be approved on the first attempt. In order to reserve your name, you must fill the Form RUN-LLP.

If the name gets rejected, then the Form for re-submission must be submitted in 15 days. There is the availability of a provision to offer a choice among 2 names in the RUN-LLP Form.

Step-4- Incorporating an LLP

1. The Form for incorporation of a Limited Liability Partnership (FiLLiP) must be filed with the Registrar, who has jurisdiction in the state where the concerned LLP's registered office is located.

2. Payment of the fees must be made as per Annexure 'A'.

3. A person can also put up an application for DPIN allotment with the incorporation form if he/she is an assigned partner within the LLP and lacks DPIN.

4. Only two individuals can apply for DPIN allotment.

If the requested name is given approval by the Central Registration Centre, it will be filed as the name of the LLP.

Step-5- Filing Agreement of LLP

As per this agreement, the mutual duties and rights are shared by the partners within the LLP.

• The filing of the LLP agreement must be done on the MCA portal within 30 days of incorporating the LLP.

• Finally, the agreement regarding LLP must be printed on stamp paper.

Conclusion

Registering an LLP takes almost 15 days, from acquiring a digital signature certificate to filing an agreement, but it depends on the availability of the documents. Get the services of a reputed legal and financial consulting firm to complete your Company Registration in Greater Noida.