FREQUENTLY ASKED QUESTIONS (FAQs)
Any two persons who consent to become partners can incorporate a LLP.
At least 2 partners are required to form a Limited Liability Partnership.
There is no limit for maximum number of partners in a LLP.
Any individual or body corporate may be a partner in a LLP.
However an individual shall not be capable of becoming a partner of a LLP, if—
(a) he has been found to be of unsound mind by a Court of competent jurisdiction and the finding is in force;
(b) he is an undischarged insolvent; or
(c) he has applied to be adjudicated as an insolvent and his application is pending.
Every LLP shall be required to have atleast two Designated Partners who shall be individuals and at least one of the Designated Partner shall be a resident of India. In case of a LLP in which all the partners are bodies corporate or in which one or more partners are individuals and bodies corporate, at least two individuals who are partners of such LLP or nominees of such bodies corporate shall act as designated partners.
LLPs, particularly those as may be engaged in the services or technology-based sectors, may provide services globally. This may require any number of its partners to locate them abroad. In view of liability structure of partners, designated partners and LLP, clearly provided for in the Act, there does not appear to be any necessity and justification for restriction relating to designated partners to out-number partners located abroad. In fact it may pose unnecessary restriction.
LLP Agreements mean a written agreement between the partners of the Limited Liability Partnership (LLP) or between the LLP and its partners which establish the rights and duties of the partners toward each other as well toward the LLP. It is a body corporate created by law
Firstly we just need to find a unique name as prefix and promoters need to provide a name of the proposed LLP along with the significance of the word. Secondly, the name needs to include a word about the LLP business activity. Finally, before selecting Names it will be advisable to check on Google, MCA Portal, MCA Guidelines and Trade Mark site the availability of Name.
The Unique Number is required to allot to an individual which remains valid for whole life of the individual and is required to become Partner of any LLP.
No, partners are not required to present personally because documents can be filed online at any place.
To incorporate a LLP it takes nearly 22 working days. Usually the time taken for incorporation will depend on submission of relevant documents by the client and speed of Government approvals. To expedite the process one should choose an unique name for the proposed LLP and ensure that all the necessary documents are given before initiating the incorporation process.
The cost of registration is almost the same for both.
An LLP can own and enjoy property in its own name, partners are not owners of the company's property.