A Limited Liability Partnership is a form of partnership in business enterprises where all participating members have limited liabilities, which indicates that no single partner would be responsible for any kind of lawful misconduct by any other partner. When all the partners have limited responsibility, we can term it a limited liability partnership. LLP, introduced in India in 2008, is a legal entity similar to other companies. LLP Registration also prevents you from business risks and loss ideas in a business. If you are looking for steps to follow for LLP registration in Kerala then read this article.
Step-by-Step Process for LLP Registration in India
- Choose a Unique Name for Your LLP
To file the web form on Run LLP, which is a reserve unique name limited liability partnership. This platform secures the name of a company.
LLP Run process by central registration centre under non-STP It is recommended that before mentioning the name of the company in the form, you use the free name search facility on the MCA portal. The system will provide a list of resembling names for existing companies,
An application can be made with a maximum of two names in preference; the name must comply with the applicable provision for name reservation.
- Incorporation of an LLP
Form for incorporation of limited liability partnership is required to be submitted with the registrar for incorporation of LLP as per Annexure A. Fees are also required to be paid, and application for allotment shall be permitted for 2 individuals only, as it is mentioned that LLP is possible minimally between 2 individuals only.
- Obtain Digital Signature Certificates and Director Identification numbers
Obtaining a digital signature is a crucial step in the registration process for an LLP. It acquires the digital signature of the designated partner of the LLP. A digital signature is required for filing the LLP document. The documents carry a digital signature that helps obtain the certificate. The requirements call for digital signatures to be certified by government agencies such as the National Informatics Center, the IDRBT certifying authority, CDAC, and NSDL.
You are required to attach a copy of this document, which includes the Aadhar Card and PAN card, to the form. The form shall be signed by a company secretary in full-time employment with the company or by the managing director, CEO, or CFO of an existing company in which the applicant shall be appointed as director.
- LLP Agreement Drafting and Filing
LLP agreements ensure mutual rights among the partners. It should be filed in an online form on the MCA portal,The LLP agreements are required to be printed on stamp papers, Stamp papers differ for each state. The LLP agreement required to be filed in Form 3 on the online portal of MCA. The LLP agreement should be filed within 30 days of the date of incorporation.
- Register for PAN and TAN
The application for PAN and TAN is required to be made separately for LLP through online and offline modes. The application is made directly to the Income Tax department and processed by it. The application is made in forms 49A and 49B with a certificate of incorporation as supporting proof.
A limited liability partnership is a body corporate and legal entity separate from its partner; it enjoys the status of a legal entity only after incorporation. What is most interesting is that no single partner is responsible for any kind of loss; a partnership can be possible between two people. There are various steps like Incorporation, drafting and filing, digital signature, etc. to be followed for establishing your own company as a separate legal entity.
