In India, Limited Liability Partnership (LLP) was established under the Limited Liability Partnership Act 2008 (which came into effect on 31st March 2009). An LLP is a type of partnership in which all or some partners have limited liabilities depending on the jurisdiction. Thus, it comprises the features of a corporation and partnership firm.

Consequently, LLP registration (LLP company registration)  is the process of registering an LLP firm by fulfilling certain obligations. 

Moreover, LLP is unassociated with the limited partnership, yet, it carries out its operation like a limited partnership. But in an LLP company, the liability of each partner is limited (members/partners are liable to pay the debt of the company only to the extent of their capital contribution). 

Can a foreigner incorporate LLP? 

Under Limited Liability Partnership Act 2008, foreign nationals which include Foreign Companies can incorporate LLP (LLP company registration) in India. However, for this, one partner should be a resident of India.

Benefits of LLP Incorporation

It provides pliability without imposing comprehensive legal and procedural requirements.

The existence of the company is not affected by the bankruptcy, death, etc of a partner.

Flexible transfer of ownership without any procedural delay.

LLP having capital below 25 lakh and annual turnover below 40 lakhs need not maintain a formal audit.

LLP being a juristic person has the authority to own and acquire the property.

It is organized and managed by the agreement.

Provides professional or technical expertise to the company.

Characteristics of LLP Company

As a company, LLP is a separate legal entity. That means it has rights similar to a person. Thus, it can sue, be sued, own property, etc.

To commence an LLP, you need at least 2 members, while there is no restriction on the maximum number of members.

There is no restriction on the minimum amount required for LLP incorporation

It continues to operate regardless of a change in its partners. 

The mutual rights and duties of partners are controlled by agreement between partners or agreement between partners and LLP.

No partner in an LLP is answerable to the unaccredited or independent actions of the other partners.

Checklist For LLP Registration Online | Checklist For LLP Company Registration

For LLP incorporation, you at least need 2 partners. Though, there is no restriction on the number of maximum partners.

Every partner should agree to the contribution towards the capital requirement.

In the case of Foreign Nationals and NRI, one designated partner should be a resident of India.

For LLP incorporation there is no restriction on the capital contribution.

Every partner should have a Designated Partner Identification Number (DPIN).

All the Designated Partners should obtain DSC.

You need the address proof of the LLP office, either rented or owned.