No, registration of an LLP is a completely online process involving filing of all the documents with the registrar of companies electronically, thus physical presence is not required. We only need scanned copies of all the required documents & forms.

The effective income tax rates on LLPs are as under:-

It means that the LLP is a separate person from its owners (partners) that can hold property, have assets & liabilities, file & defend cases and therefore an LLP is also called an artificial person in the eyes of law.

What's in the name is not truly the case when it comes to a business name and thus it becomes important to have a name which apart from other factors is relevant, indicative of the LLP’s line of business and catchy.

The Ministry of Corporate affairs has complete guidelines for the approval of names by the registrar of companies. The most important one is that the proposed name should not be similar to the name of any other registered company / LLP or any registered trademark. Also, the name should end with the words "LLP” in case of a limited liability partnership.

Further, there are certain subjective conditions/restrictions on name availability which are subject to the interpretation of the concerned officer handling the case at the registrar's office.

We will do a comprehensive search on the names provided by you for checking their availability in the relevant databases and thus we recommend you to provide us with 3-4 alternatives. Furthermore, in case the name has already been taken, don't worry it's not compulsory to have your LLP name and brand name the same, you can keep your brand name and LLP name different but do make sure the brand name which you are finalizing is also not a trademark of any other person.

A digital signature certificate (DSC) is an electronic signature issued in a token, under the provisions Information Technology Act, 2000 which helps the DSC holder to digitally sign documents. A document which contains a digital signature is considered a validly signed document and does not require physical signatures on it.

Director Identification Number (DIN) as the name indicates, is a unique number allotted to every person who is, has been or is proposed to be Director. In case of LLPs, their designated partners are also required to obtain DIN. It is issued to the applicant either along with the incorporation of the company / LLP or while intending to become a Director in an existing company / Designated Partner in an existing LLP.

An individual who is above the age of 18 can become a partner in LLP, however for becoming a designated partner he needs to have DIN (director identification number). Further, Company, LLP, and other body corporates can become a partner in LLP, being represented by its authorized signatory.

No, NRIs and foreign nationals can also become a partner in an LLP company subject to attaining the age of 18. Further, NRIs and foreign nationals can also become a designated partners after obtaining DIN. However, out of the minimum 2 designated partners 1 should be resident in India.

A limited liability partnership should have a minimum of 2 (two) partners and there is no limit on the maximum number of partners. However, out of the total number of partners minimum of 2 (two) should be designated partners out of which a minimum of 1 (one) should be a resident of India.

A Partner is a person who becomes part of the LLP by contributing capital and agreeing to take a share in the profit/loss of the LLP. The concept of Designated partner is provided under the LLP Act, 2008, which defines a designated partner as a partner who is responsible for compliance of the LLP Act. The position of a designated partner is more or less similar to the position of the Director of a Company.

A person who has DIN, and complies with the following can become a designated partner:-

• Not an undischarged insolvent and was not declared insolvent in the past 5 (five) years.
• Not withheld any payments to his creditors at any point of time in the past 5 (five) years of time, and has not made a compromise with them.
• Not imprisoned for any immoral acts, and where the period of the sentence was at least 6 months.
• Above 18 years of age (i.e. not a minor).

The Partners execute an agreement known as LLP agreement to record the following:-

1. Rights, liabilities, duties of Partners.
2. Governance norms like addition, registration & removal of partners, operations of bank accounts, meetings of partners etc.

There is no minimum paid-up capital criteria for registering your LLP. The capital with which the LLP started should ideally depend upon the initial requirements based on the business plan.

Scan copy of following documents are required for each of the proposed Director and shareholder:

1. Photograph - Latest passport size.
2. Identity Proof  1- PAN Card (Compulsary for Indian Nationals) or passport (For Foreign Nationals)
3. Identity Proof 2 - AADHAR Card/ Driving License/ Passport/ Voter ID (any one)
4. Address Proof - Latest Bank Statement/ Electricity/ Phone Bill (any one of these), containing the complete address and name of the ID holder. 
   

1. Registered Office Address Proof 1- Latest Electricity / Phone Bill ( any one of these) in the name of the property owner.
2. Registered Office Address Proof  2- Noc from the property owner or taken on rent then rent agreement.
   

The business which can be carried out by a company is mentioned in the object clause of the LLP agreement.Yes, an LLP can carry out multiple businesses, in case while filing the incorporation application, the object clause contains multiple businesses and the same is approved by the office of the registrar of companies. However, it is generally seen that if the said multiple businesses are not related to the same industry, then approval is not given by the office of the registrar of companies.

Every LLP post-incorporation has to comply with the following post-incorporation compliances:-

• Immediate Basis-
• Outside every office - Name and Registered Office address in English and in the local language.
  
• On every bill, letter, notice etc. - Name, Regsitered office address, LLPIN, Telephone Number, E-mail ID. Also a statement that the LLP is "registered with limited liability".

No, unlike companies LLP does not have fixed denomination value shares and since there is no concept of shares, there are no share certificates in the LLP. The share of a partner in the LLP is represented & identified by the LLP agreement.

No, the LLPs have the same flexibility as partnership firms which enables the LLPs to have different capital and profit/loss sharing ratio.

This means there can be situations wherein an LLP there is a partner's capital investment that does not match with his profit/loss sharing ratio.

No, up to the capital of Rs. 25 Lakh and Turnover of Rs. 40 Lakh, auditing of books of LLP is not compulsory.

Apart from any sector-specific laws & their compliances, the basic routine compliances applicable to a LLP can be divided into 3 (three) categories, viz. accounting & auditing, statutory returns (TDS, GST & ITR) and ROC compliances.

Assuming that there are no other statutory registrations, licenses or sector-specific compliances and also assuming that all the compliances mentioned in the above 3 basic categories are done on time, the annual compliance cost to run a LLP should range between Rs. 18,000 to Rs. 25,000 at the minimum.

There is no restriction under the law regarding a person in employment becoming a partner in an LLP. However, it is suggested that you go through the terms of employment also to check if any restriction on becoming a partner or carrying on any business is mentioned or not.

Yes, if you don’t have any other person to join you in your business and since an LLP needs to have a minimum of 2 partners, you can involve your family member for the same.

A registered office is an address which is designated as the official address of the LLP for receiving all communications from government departments, statutory authorities, partners and others. Also, all the records and papers relating to the LLP need to be maintained at this registered office address only.

Yes, there is no such requirement of having a commercial space for the registered office of an LLP.

Yes, a partnership firm after following due process can be converted into an LLP.

No, a sole proprietorship cannot be converted into an LLP. However, after incorporating a new LLP  you can take over the running business of your sole-proprietorship firm in the LLP.

Yes, a private limited company can be converted into LLP.

Yes, an LLP after following the legal proceedings can be converted into a private limited company.