What is Limited Liability Partnership?

A Limited Liability Partnership (LLP) is a kind of business structure that combines the benefits of a partnership and a corporation. It was introduced in India in 2009 and quickly became popular among entrepreneurs and professionals. The main idea behind an LLP is to create a simple business structure that provides some protection for the owners by limiting their liability.

In an LLP, at least one of the designated partners must live in India, and the rights and responsibilities are governed by an LLP agreement. The unique thing about an LLP is that it offers the advantages of a regular partnership, but with one significant difference: the partners aren’t fully responsible for each other’s mistakes or actions.

This means that if something goes wrong, one partner isn’t held entirely accountable for what another partner did. LLPs are commonly used by law firms, accounting firms, real estate businesses, and others because they offer limited liability and are relatively easy to manage.

In simple terms, an LLP is a business structure where the people running it are protected from some of the mistakes or debts of their partners, making it a popular choice for many types of professional and service-oriented businesses.

Application Requirements for Limited Liability Partnership Registration

• Number of Partners: You must have at least two partners to form an LLP.
• Indian Citizen Partner: At least one of the partners should be an Indian citizen. This is a legal requirement in India.
• Unique Partner Identification: Each partner must obtain a unique partnership identification number, known as a DPIN.
• Physical Office: The LLP must have a physical office address where daily business operations can take place. This is a legal requirement.
• Digital Signatures: All partners must obtain a Digital Signature Certificate (DSC), which is necessary for signing and filing digital and electronic documents.
• Unique Company Name: Your company’s name has to be unique and not similar to any existing registered Indian companies or trademarks.

Documents Needed to Register a for Limited Liability Partnership

• For LLP Partners:
  • A photograph of each partner.
  • Each partner’s PAN card.
  • Each partner’s Aadhar card.
  • Proof of address* for each partner.
  • Proof of identity** for each partner.
• For the Registered Office Address of the LLP:
  • A recent electricity bill or another utility bill in the owner’s name.
  • If you’re renting the office, you need a rent agreement between the owner and the company promoter. Or, if the owner is the company’s promoter, you can get a No Objection Certificate (NOC) from them.
  • *Address Proof: This can be a bank statement, electricity bill, telephone bill, or mobile bill, and it shouldn’t be older than 2 months.
  • **Identity Proof: This can be a driving license, voter ID card, or passport, and you can use any one of them.

#In Case Of Foreign Nationals/ NRIs

If you’re a foreign national or a Non-Resident Indian (NRI), you need to provide your passport and additional evidence of your address, like a driver’s license or bank statement. If your documents are not in English, you’ll also need a notarized or apostilled translation copy.