With years of experience, we have crafted a simple and hassle free process to Register a partnership firm. As of 2020 our services are limited to Hyderabad.
A partnership is one of the oldest business structures in India and is governed by the Indian Partnership Act, 1932. A partnership firm does not have an independent status apart from the partners constituting it. A partnership is not a legal entity; it has a limited identity for the purpose of tax laws. Any two people who are capable of entering into a contract can start a partnership business under an agreement called a partnership deed. The partnership agreement can be oral or written. It is not mandatory to register a partnership deed, but it is advisable to do so for evidential purposes since a firm cannot file a suit against a third party if it is unregistered.
Partnership is a special type of contract and is a relation between two or more persons who have agreed to share profits of a business run by all or any one of them acting for all. The essence of a partnership is a contract between partners. It is mandatory for partners to share profits among themselves.
Cost: The price for registration of LLP is generally more than the price for registration of a partnership firm.
Authority: LLPs are registered in India under the Ministry of Corporate Affairs (MCA), governed by the Central Government. Partnership firms are registered with the Registrar of Firms, Controlled by the respective government during which the firm is registered.
Limited Liability Protection: the most advantage of a limited liability Partnership over a conventional partnership firm is that in an LLP, one partner isn’t responsible or accountable for another partner’s misconduct or negligence.
Number of Partners: LLPs and Partnership Firms must compulsorily have a minimum of two partners to be registered. Post incorporation, an LLP can have unlimited partners. In case of a Partnership Firm, if the number of partners at any time reduces below the mandatory minimum of two because of death, incapacitation or resignation of a Partner, the partnership firm would stand dissolved. On the other hand, just in case of an LLP, if the number of Partners reduces below 2, the sole Partner can still find a replacement Partner to fill the position without dissolution of the LLP
Forming a partnership firm is simple since it does not have to be registered to start operations. A partner is an agent of the firm and all other partners. Each partner is liable for the actions of the other partners.
Documents For Registration
List of Other Documents:
- Partnership Deed Signed by all
- Partners Primary ID –
- Permanent Account Number (PAN) Additional ID –
- Aadhaar Card
- Latest Address Proof: Telephone Bill or Electricity Bill or Bank Statement or Bank Passbook with latest entries