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LLP to be Incorporated under LLP (second amendment) Rules 2018
Limited Liability Partnership/LLP is a form of business organization combining the indispensable aspects of a partnership firm. The main advantages of the LLP is limited liability where only the assets of the LLP will be used for their liabilities.
LLPs are commonly used by small and medium enterprises and also for the business professionals like law firms, accounting firms (CS, CA & CMA) and wealth managers.
Benefits of Incorporation of LLP
Registration of partnership firms gives you the legal right, the firm cannot file legal proceedings against any partners or third parties if it is unregistered. Registration gives a right to sue.
Sharing of Risks
Unlike sole proprietary firms, the risk of the partners will be shared among the partners. It helps to reduce the burden of work.
Documents required for Registration of Partnership Company
The formation of a partnership firm is easy to start. The agreement among the partners is enough to initiate your firm. This helps to increase young entrepreneurs for the development of their business and startup ideas.
Sharing Financial Resources and Skills
Partnership Firm has more financial resources by sharing the money among the partners. It also helps in bringing different kinds of ideas together which leads to efficiency in business operations