In this article, we have tried to explain the steps involved in incorporation of LLP with help of info-graphics. This would help Startups to understand the procedural aspects of same in easy manner.
Step 1 – Designated Partner to Apply for DIN (Directors Identification Number):
Minimum two designated partner is required to Incorporate LLP and they are required to apply for DIN in order to become a partner in LLP. DIN is a unique number being allotted to every partner in a LLP.
Step 2 –DSC (Digital Signature Certificate) to be acquired by partners:
Class II digital signature of all the designated partners is required. The digital signature is a mandatory requirement for filing online documents with the Registrar of Companies (ROC).
Step 3 – Register the DIN & DSC on the LLP website:
After acquiring the DIN & DSC, the applicant is required to register the same on the LLP website.
Step 4 – File Form 1 for name approval:
After completing the above mentioned criteria one needs to file Form 1 for getting approval of name for the proposed LLP. For this four names (in order of preference) which the partners propose to keep for the LLP is required to be filled.
Step 5 – Draft the LLP agreement through which mutual rights of partners are governed:
After getting approval of name, draft the LLP agreement through which mutual rights of partners are governed and it needs to be filed along with other forms.
Step 6 – File Form 2 for Incorporation document & Subscriber’s Statement:
After getting name approval, Form 2 for incorporation should be filed along with the Registered Office Address Proof.
Step 7 – File Form 3 for LLP agreement & changes made if any:
After Form 2 has been filed, Form 3 is to be filed within 30 days along with the LLP agreement from the date of registration.
Step 8 – File form 4 to provide details about designated partners:
Form 4 is required to be filed for providing complete information regarding appointment, cessation or changes made if any in respect of the Designated Partners.
Step 9 - Receipt of Certificate of Incorporation from ROC:
Once all aforesaid formalities have been completed, ROC shall issue the certificate of incorporation to the LLP. Once the certificate of incorporation has been issued by ROC, the LLP is geared up for functioning.
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