Partnership to LLP

CONVERSION OF PARTNERSHIP TO LLP

To start the conversion of Partnership into LLP, Digital Signature Certificate (DSC) and Designated Partner Identification Number (DPIN) or Director Identification Number (DIN) must first be obtained for all the Partners. .

Once all the documents are submitted to the Registrar, the Registrar after verifying the documents shall issue a certificate of registration for LLP. The LLP must then inform to the concerned Registrar of Firms about the conversion of Partnership into LLP within 15 days from the date of conversion through the prescribed forms.

Document Required for Conversion

Address proof of registered office,
Approval by regulatory authority,
Details of partnership (including details of partners and directors)
Consent of all the partners,
Copy of the latest income tax return (can be acknowledgment),
No Objection Certificate from tax authorities,
List of creditors and their consent, and
List of certified liabilities and assets.

What are salient features of LLP ?

The following are the salient features of LLP :

Legal Existence -It is a body corporate with distinct legal entity and perpetual succession.
Liability of Partners - In a LLP liability of partner is limited . As in case of loss , partner are not liable to pay debt on their own .
Books of Accounts -The LLP shall be under an obligation to maintain annual accounts reflecting true and fair view of its state of affairs. A statement of accounts and solvency shall be filed by every LLP with the Registrar every year;
Designated Partner -Every LLP shall have at least two partners and shall also have at least two individuals as Designated Partners, of whom at least one shall be resident in India.

What is the minimum number of Partner required to start a LLP ?

The minimum number of partner required to start an LLP is atleast 2 .

Who can become a partner in LLP ?

Any individual/organisation can become the partner in LLP including foreigners/NRI’s. However, the individual must 18+ above in terms of age and should have a valid PAN card.