FAQs on Limited Liability Partnership Registration

Explore answers to common questions about Limited Liability Partnership (LLP) registration in India, covering key benefits, eligibility, compliance requirements, partner roles, and comparison with other business structures to help you choose the best option for your needs

An LLP is a hybrid business structure combining the flexibility of a partnership with the limited liability of a company. Unlike a Private Limited Company, LLPs have fewer compliance requirements, no requirement for minimum capital, and are more suited for small to medium-sized service-based businesses.

Any individual (Indian resident or NRI), body corporate, or company can register an LLP in India, provided there are at least two designated partners, one of whom must be a resident of India.

No, it’s not mandatory. However, registering as an LLP provides legal recognition, limited liability protection, and better credibility compared to a traditional partnership firm.

LLP registration online involves: 1. Obtaining Digital Signatures (DSC) 2. Applying for Designated Partner Identification Numbers (DPIN) 3. Reserving the LLP name via the RUN-LLP form 4. Filing FiLLiP (Form for incorporation of LLP) with required documents 5. Paying the applicable government fees 6. Receiving the Certificate of Incorporation

Key documents include: - PAN card and Aadhaar of all partners - Address proof and bank statements - Passport-size photographs - Utility bill and NOC for registered office - DSC and DPIN for all designated partners

The cost varies by capital contribution and state. On average, government fees range from ₹500 to ₹5,000. Additional charges may apply for DSC, DPIN, and professional services.

LLP formation typically takes 10–15 working days, depending on documentation, name approval, and MCA processing time.

Limited liability protection No minimum capital requirement Lower compliance burden Flexibility in operation Legal recognition Suitable for professionals and service firms

Yes, an NRI or foreign national can be a partner in an LLP, subject to Foreign Direct Investment (FDI) regulations and at least one Indian resident partner.

No, there is no minimum capital requirement for LLP company registration in India. You can start with any amount agreed upon by partners.

Designated Partner Identification Number (DPIN) is a unique ID allotted by the MCA to individuals intending to act as designated partners in an LLP. It is mandatory for compliance and identification purposes.

Yes, a valid Digital Signature Certificate (DSC) is required for all designated partners to digitally sign forms and documents during online LLP registration.

Yes, LLPs must file Annual Return (Form 11) and Statement of Accounts & Solvency (Form 8) annually. Income tax returns and GST filings (if applicable) are also required to maintain compliance.

Yes, an existing partnership firm can be converted into an LLP by filing the prescribed forms with the MCA, provided all partners of the firm become partners of the LLP.

To add/remove a partner, the LLP must file Form 4 with the MCA along with a supplementary agreement. The change must be approved by all existing partners and updated in the LLP agreement.