BENEFITS OF LLP:

• Limited liability partnership is a type of partnership in which the partners have limited liability in India.
• The main feature of limited liability partnership is that one partner is not responsible or liable for an additional partner‘s misconduct or negligence.
• LLP is that it is separate legal entity and there is flexibility without imposing legal & procedural requirements in India.
• In the formation of LLP there is no bare minimum requirement of capital formation

PROCEDURE TO START AN INDIAN LLP?

To register an Indian LLP, you need to first apply for a Designated Partner Identification Number (DPIN), which can be done by filing eForm for acquiring the DIN or DPIN. You would then need to acquire your Digital Signature Certificate and register the same on the portal. Thereafter, you need to get the LLP name approved by the Ministry. Once the LLP name is approved, you can register the LLP by filing the incorporation form.

STEP 1: APPLICATION FOR DIN OR DPIN

All designated partners of the proposed LLP shall obtain “Designated Partner Identification Number (DPIN)”. You need to file eForm DIN-1 in order to obtain DIN or DPIN. In case you already have a DIN (Director Identification Number), the same can be used as a DPIN.

STEP 2: ACQUIRE/ REGISTER DSC

The Information Technology Act, 2000 provides for use of Digital Signatures on the documents submitted in electronic form in order to ensure the security and authenticity of the documents filed electronically. This is the only secure and authentic way that a document can be submitted electronically. As such, all filings done by the LLP(s) are required to be filed with the use of Digital Signatures by the person authorized to sign the documents.
Acquire DSC -A licensed Certifying Authority (CA) issues the digital signature. Certifying Authority (CA) means a person who has been granted a license to issue a digital signature certificate under Section 24 of the Indian IT-Act 2000.
Register DSC - Role check can be performed only after the signatories have registered their Digital signature certificates (DSC) with LLP application. To know about it click register a DSC .

STEP 3: NEW USER REGISTRATION

To file an eForm or to avail any paid service on LLP portal; you are first required to register yourself as a user in the relevant user category, such as registered and business user. To register now click New User Registration .

STEP 4: INCORPORATE A LLP

Apply for the name of the LLP to be registered by filing Form 1 ( Application for reservation or change of name) for the same. After that depending upon the proposed LLP, file required incorporation Form 2 ( Incorporation document and Subscriber‘s statement) Once the form has been approved by the concerned official of the Ministry, you will receive an email regarding the same and the status of the form will get changed to Approved. To know more about eFiling process click "All About eFiling"

STEP 5: FILE LLP AGREEMENT

After incorporation of LLP, an initial LLP agreement is to be filed within 30 days of incorporation of LLP. The user has to file the information in Form 3 ( Information with regard to Limited Liability Partnership Agreement and changes, if any, made there).