How can IndiaFilings help in Partnership Firm Registration?

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We offer comprehensive assistance in Partnership Firm Registration, simplifying the complex process for you. Our experienced team provides expert guidance, aids in document preparation, assists with name selection, and ensures full legal compliance with affordable partnership firm registration fees. We take care of submitting your application to the relevant authorities and keep you informed with timely updates. Whether initiating a new partnership or formalizing an existing one, our services are tailored to your unique needs when it comes to register partnership firm. We don’t stop at registration; our support continues post-registration, helping you understand the ongoing responsibilities of operating a registered partnership firm.

With IndiaFilings, you can confidently navigate the partnership firm registration online process, knowing that your partnership is established efficiently, allowing you to concentrate on your business’s growth. Our effective solutions and reasonable partnership firm registration cost make the entire process hassle-free and affordable. Contact us today to take the first step towards a successful partnership.

Your success is our priority!Proprietorship vs Limited Liability Partnership (LLP) vs Company

Features	Proprietorship	Partnership	LLP	Company
Definition	Unregistered type of business entity managed by one single person	A formal agreement between two or more parties to manage and operate a business	A Limited Liability Partnership is a hybrid combination having features similar to a partnership firm and liabilities similar to a company.	Registered type of entity with limited liability to the owners and shareholders
Ownership	Sole Ownership	Min 2 PartnersMax 50 Partners	Designated Partners	Min 2 DirectorsMin 2 ShareholdersMax 15 DirectorsMax 200 ShareholdersFor One Person Company1 Director1 Nominee Director
Registration Time	7-9 working days
Promoter Liability	Unlimited Liability		Limited Liability
Documentation	MSME GST Registration	Partnership Deed	LLP DeedIncorporation Certificate	MOA AOA Incorporation Certificate
Governance	–	Under Partnership Act	LLP Act, 2008	Under Companies Act,2013
Transferability	Non Transferable	Transferable if registered under ROF	Transferable
Compliance Requirements	Income tax filing if turnover is more than Rs.2.5 lakhs	ITR 5	Form 11 Form 8 ITR 5	ITR 6 MCA filing Auditor’sappointment Know More

Documents Required For Partnership Firm Registration

Pan Card

PAN of Partners

Aadhar Card

AADHAR of Partners

Rental Agreement

Electricity Bill

NOC from Landlord

Partnership Firm Registration FAQ’s

What is the registration of a partnership?

Registration of partnership in India is legally formalizing a partnership firm by filing an application with the Registrar of Firms under the Indian Partnership Act, 1932. The registration process involves providing details about the partnership firm, such as its name, location, partners’ details, and the terms and conditions of the partnership agreement.

Is it compulsory to register a partnership?

Registration of a partner to a partnership firm is not compulsory in India. However, if a new partner joins the partnership firm, the partnership deed should be amended, and a supplementary agreement should be executed. While registration of partners is not required, the partnership firm must be registered with the Registrar of Firms under the Indian Partnership Act, 1932.

Who is eligible for partnership?

Under the Indian Partnership Act, the following Individual/entities are eligible to become partners in a partnership firm:

Individual: Any person who is of sound mind, not a minor, not an undercharged insolvent, and not disqualified from entering into a contract by law can become a partner in a partnership firm.
Firm: A registered partnership firm can become a partner in another partnership firm.
Hindu Undivided Family (HUF): The Karta of a HUF can become a partner in a partnership firm in his capacity if he has contributed his self-acquired or personal skill and labor to the partnership firm.
Company: Companies are juristic persons and can become partners in a partnership firm if their objects permit it.
Trustees: Trustees of private religious trusts, family trusts, and Hindu mutts can enter into partnerships unless their constitutions or objects forbid it.

How much capital is required to start a Partnership?

A Partnership firm can be started with any amount of capital. There is no minimum requirement as such.

What are the advantages of registering a Partnership firm?

It is very advisable to register a Partnership firm as a Registered Partnership Firm can file a suit in any court against any of the Partners or firm for the enforcement of any right arising from the contract referred by the Partnership Act. Also, only a Registered Partnership Firm can claim set-off or other proceedings in a dispute with a party.

Is a partnership firm a separate legal entity?

The Partnership firm and the partners are the same in the eyes of the law. In Partnership firms, the liability of the Partners is also unlimited and all the Partners are said to be jointly and severally liable for the liabilities of the firm. Hence, No Partnership firm doesn’t have separate legal existence of its own.

Is it compulsory for partnership firms to file income tax returns?

A Partnership Firm must file the returns of Income irrespective of the number of profits or losses made by the Partners.

Can a person transfer to a partnership firm?

There are restrictions on the Transfer of ownership interest in a Partnership Firm. A Partner cannot transfer his or her interest in the firm to any person without the consent of all other partners.

What is a Partnership deed?

A Partnership deed is an agreement between the Partner that highlights the terms and the rules of the Partnership among the Partners. Ensure that two or more individuals as partner to agree on firm name to register partnership deed.

Why is a Partnership deed necessary?

The Partnership deed lays down all the Terms and Conditions of the Partnerships. As it regulates the rights and duties of each partner. A Partnership deed is a very crucial document. Hence, it is essential to register partnership deed.

How can I transfer to my partnership firm?

There are restrictions on the transfer of the Partnership Firm. A Partner cannot transfer his / her interest in the firm to anyone without the consent of all other partners.

Is audit required for a Partnership?

In the case of Partnerships, it is not necessary to prepare audited financial statements each year. However, a tax audit may be necessary based on turnover and other criteria.

Can I convert my Partnership firm into a Company/ LLP?

Yes, there’s a specified procedure for converting a Partnership firm into a Company or LLP. However, the procedure is very cumbersome and time-consuming. It will be wise if an entrepreneur considers starting an LLP or a Company instead of a Partnership firm.

How to open a bank account for a Partnership firm?

To open a bank account for a Partnership firm a registered Partnership deed along with an identity proof and address proof of the Partner is to be provided.

How will IndiaFilings help you in Partnership firm registration?

An associate from IndiaFilings will understand your business requirements and help you start a Partnership firm by drafting the Partnership deed. Based on the requirement we also help the partnership firms to become Registered Partnership Firms.

How many people are required to start a Partnership firm?

In a Partnership firm, a minimum of 2 members are required and a maximum of 20 partners are allowed.

Who can be a Partner in a Partnership firm?

An individual who is an Indian citizen and a resident of India can partner in a Partnership firm. Nonresident Indians and Individuals belonging to Indian Origin can invest in a Partnership only with the approval of the Government.

What documents are required to register a Partnership firm?

For the partners, it is necessary to submit a PAN card along with the identity and address proof. It is recommended to draft a Partnership Deed which is to be signed by all the Partners.

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