Conversion of Partnership Firm into LLP
Convert your partnership firm into LLP at ₹ 10,500/- only
Get Started By paying Rs. 10,500
Introduction
A Partnership Firm after the introduction of Limited Liability Partnership Act, 2008 can convert itself in Limited Liability Partnership The main reason is to obtain the advantages introduced under the Limited Liability Partnership Act, 2008 like unlimited number of partners, Separate Legal Entity, Limited Liability and ease in transferring the ownership.
Registered as well an Unregistered Partnership Firm can be converted to Limited Liability Partnership but Limited Liability Partnership should have the same partners as were in the Partnership Firm.
Therefore, it is advisable to retire all the Partners who do not continue to be a part of LLP and if new partners are required to be added, they should be added after the incorporation of LLP.
Sprinthub Solutions has team of experts providing you the best assistance, timely delivery and guaranteeing the highest customer satisfaction with respect to Conversion of Partnership Firm into Limited Liability Partnership. You may get in touch with our team on 096436-69475 or email info@sprinthub.in for the assistance in Conversion of partnership firm to LLP.
Advantages of Conversion of Partnership firm to LLP
Limited Liability
Likewise Companies the Liability of Partner of LLP is limited to the amount of capital contributed by them limiting the risk of business and thereby safeguarding the assets of Partners.
Less Compliance Formalities
The Limited Liability Partnership involves less compliance burden in comparison to any other corporate entities thereby making it cost friendly also.
Separate Legal Entity
The Limited Liability Partnership Act, 2008 also provides the benefit of Separate Legal Entity which says that the LLP is distinct from its Partners.
Lower Registration Cost
The cost involved in registration of a Limited Liability Partnership is much less than any other corporate entity.
Minimum Requirement
Partners in partnership firm will become the partners in LLP with their consent
Minimum two Designated Partners
Income Tax Return should be up to date
At least one Designated Partner should be Indian Resident
All secured and unsecured creditors should provide their consent for the proposed conversion
Sharing Ratio in LLP = Capital Account Status in firm
Document Required For Incorporation
PAN Card
of the Member and Directors of the proposed Company Passport in case of Foreign Nationals
passport size photograph
of Member and Directors
Identity Proof
of the Member and Directors of the proposed Company.(Aadhar /Voter ID/Driving License/Passport)
Business Address Proof ,Owned Property
: (Copy of Registry and Latest Govt. Electricity Bill or Water Bill)
Address Proof
of the Members and Directors (Utility Bill/Telephone Bill/Mobile Bill/Bank Statement not older than two months)
Business Address Proof,Rented/leased:
Rent Agreement, NOC from the Owner, Latest Govt. Electricity Bill or Water Bill)
Process of Conversion of Partnership firm to LLP
1. Complete the Application Form
You are requested to first fill the simple questionnaire provided by our expert team.
Application for DSC
DSC is a Digital Signature Certificate consisting of the E-signatures prepared. It will approximately take 1 day.
E-filing for incorporation of a Company
Once the name is approved, an online application is required to be filed through SPICE+ along with the requisite documents as obtained from the client with ROC. The MOA as well as AOA shall be filed online. This process again takes approximately 2-3 days.
Document Processing
At the second step we will be requiring the documents in accordance with the questionnaire filled by you so that we can arrange them as per the requirement and for processing.
Name Availability
The next step is to check the name availability. The name should be unique in nature and should not be similar to name of any other entity registered. It may take at least 1-2 days.
Get Certificate of Incorporation
Once the Company gets incorporated we will share all the docs like Incorporation Certificate, MOA , AOA and Digital Signatures.
More Insights on Conversion of Partnership Firm to LLP
How to Select the Name of Company
- You can check Company name availability thereby logging into MCA where you need to keep in mind two or three available options along with the activity type. Our team will assist you in the selection of name of LLP.
- Also, along with checking the name availability we also need to check the trademark if already registered under the proposed name which makes the online application for registration more powerful. If you want to have a trademark of your word or logo you can get the same through Sprinthub Solutions by clicking on the below mentioned link Trademark Registration.
Other Key Points
- If the proposed PARTNER is already having the DIN then you can also check whether DIR-3 KYC is completed. You can verify the same with the help of our experts. If the same is not done yet, it can be done with help of Sprinthub Solutions.
- The LLP is required to manage all the compliances after incorporation of the LLP like Income Tax Filing, Annual Returns with ROC and other compliances as required by the law. Sprinthub Solutions has a team of experts who keeps an eye on the due dates of your compliances and reminds you through mails.
- The LLP will further be liable for the following acts or deeds of the partnership firm :
- All the proceedings by or against the firm which are pending before any authority such as Courts, Tribunal etc.
- Every agreement, deeds, contracts, applications, instruments, schemes, bonds subsisting in the name of partnership firm immediately before conversion.
- The LLP shall ensure that not later than 14 days of incorporation for a period of 12 months, every official documents or correspondence shall bear the following :
- Statement of conversion
- Name and Registration no of firm, if applicable
- LLP is required to conduct audit in following cases:
- When the contribution of the Limited Liability Partnership exceeds Rs.25 Lakhs;
- When the annual turnover of the Limited Liability Partnership exceeds Rs.40 Lakhs.