Limited Liability Partnership (LLP) is a separate legal entity and it's slightly different from traditional partnership firm. LLP formation is a legal process like any other legal entity including private or public companies as per the rules and regulations. Limited Liability Partnership (LLP) is an excellent form of business as it came into existence in order to minimize the limitations of traditional partnership firm. The most important factor in a LLP firm is the limited liability and perpetual succession. As per the contract, no partner is liable to other partner's misconduct or liabilities and the business must go on irrespective of all hassles by any one partner. These days, there are numbers LLP firms are setting up and online LLP formation is the new buzzword in town, as it's really easy and simple compared than traditional medium. In order to incorporate a Limited Liability Partnership (LLP) firm, there are minimum two partners with mutual agreement need to be joined as per LLP formation procedure.
LLP Formation Procedure in India
India is a country, where numerous forms of business enterprises are growing in each passing year in order to tap the huge opportunities. One can form a LLP in India directly means online or can take the help of some legal professionals in order to make it as an easy affair. LLP incorporation in India follows certain rules and regulations as per the Partnership Act, 2008. The following procedures are followed when it comes to incorporate a Limited Liability Partnership (LLP).
Naming LLP: The name of the firm or LLP firm should end with "Limited Liability Partnership". One should apply it with all information to the Registrar and within 7 days, one will get the name registered if it certifies all rules and regulations.
Designated Partner: Minimum two partners are required in order to form a LLP firm.
LLP Agreement: LLP agreement must be signed within 30 days after its incorporation.