Convertion of Partnership To Limited Liability Partnership ( LLP)

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Overview

Converting a partnership to a Limited Liability Partnership (LLP) primarily offers limited liability protection to its partners. Furthermore, LLPs benefit from being separate legal entities, providing flexible management structures, and often presenting a more attractive option for investors.

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Steps

01

"Select a name for the LLP that complies with the LLP Act and the Companies Act. "

02

Prepare LLP agreement

03

Register the LLP

04

Obtain Director Identification Number (DIN) and Digital Signature Certificate (DSC)

05

File the incorporation form (e-Form 2)

06

"Obtain name approval for the proposed LLP from the ROC. "

07

File LLP agreement (e-Form 3)

07

Obtain certificate of registration

Eligibility

Agreement:

All partners must agree to the conversion.

Registration:

It is not mandatory for the partnership to be registered under the Indian Partnership Act, 1932, to be eligible for conversion to an LLP.

Partners :

The partnership must have a minimum of two partners.

Requirements:

The proposed LLP must comply with the requirements of the Limited Liability Partnership Act, 2008.

Litigations:

The partnership must not have any pending litigation or disputes.

Certificate of Registration

  • "The Certificate of Registration, issued by the relevant government authority, formally certifies the formation and legal existence of a Limited Liability Partnership (LLP).

    This document serves as conclusive proof that the entity has successfully completed its conversion from a partnership and is now officially registered as a Limited Liability Partnership within its jurisdiction."

    This certificate acts as conclusive proof that the company has completed all necessary procedures and is now legally registered as a Private Limited Company under its respective jurisdiction. Its issuance signifies the formal change in the company's status, allowing it to operate with the characteristics and regulations applicable to a private entity."

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