Business Entity Registration-1

Business Entity Registration -:

Step By Step Services Provided By Us

	One Person Company		Limited Liability Partnership	Partnership			Companies Act
							Private Limited Company	Public Limited Company
Entity Registration	Registered with the MCA (Ministry of Corporate Affairs) under the Companies Act 2013	Registered with the MCA (Ministry of Corporate Affairs) under the LLP Act, 2008.			Registered Under  Indian Partnership Act, 1932 and the rules made there under.	Registered with the MCA (Ministry of Corporate Affairs) under the Companies Act 2013
Separate Legal Entity	Yes	Yes( Section 3)			Not a separate legal entity	Yes .
Registration Name Approval	Mandatory Registration ,The Name approval process needs approval from ROC. “One Person Company” needs to be mentioned in brackets below the name of such company. Name is as Per Choice once ROC gives an Approval Note- A proposed name can be reserved for the purpose of incorporation of a company or change of name of an existing company through the RUN service by logging into the MCA portal along with a fee of Rs. 1000/-. An approved name is valid for a period of (i) 20 days from the date of approval (in case name is being reserved for a new company) or (ii) 60 days from the date of approval (in case of change of name of an existing company)	Mandatory Registration ,The Name of the LLP needs approval from the Registrar of Company. Already existing names are not permitted. The Name of the LLP must have an ending with "Limited Liability Partnership" or "LLP" Name must Suffix Limited Liability Partnership			Registration is optional except in the State of Maharashtra. Name is as Per Choice once ROC gives an Approval	Mandatory registration with Registrar of Companies Name must suffix” Private Limited “for Private Limited Companies and “Limited” in case of Public Limited Note-: A proposed name can be reserved for the purpose of incorporation of a company or change of name of an existing company through the RUN service by logging into the MCA portal along with a fee of Rs. 1000/-. An approved name is valid for a period of (i) 20 days from the date of approval (in case name is being reserved for a new company) or (ii) 60 days from the date of approval (in case of change of name of an existing company)
Legal Document	Nominee Consent	LLP Agreement			Partnership Deed	Memorandum of Association Articles of Association
Minimum Paid Up Capita	The minimum paid up capital at the time of registration of a company shall be - One Person Company: Re.1/-					- Private Limited Company: Rs.2/- - Public Limited Company: Rs.7/-
Subscribers	One Person Company   1					Private Limited 2 Public Limited  7 Producer company 10
Liability of the Members	The Shareholders in an OPC are liable only to their shares, which means it has limited liabilities. The Shareholders in an OPC are liable only to their shares, which means it has limited liabilities.	The Partners of an LLP have limited liabilities and it extends only till the amount that they have contributed. the partners or members are not responsible for the liabilities and debts of the Company.( Section 3), , except in case of intentional fraud or wrongful act of omission or commission by the partner or where the number of partners fall below the minimum.			Unlimited. Partners are severally and jointly liable for actions of other partners and the firm and liability extend to their personal assets.	Limited to the amount required to be paid up on each share or where the number of share-holders fall below the minimum
Transferability	Ownership can be transferred to the “nominee” appointed in case of the director’s death or incapacity to contract.	Ownership can be transferred
Members	Minimum one person, who has to be an Indian resident, is required to start an OPC. It is necessary to appoint a Nominee. Minimum 1 Director/ sole owner of the company Maximum 15 Directors	An LLP needs to have a minimum of two persons to start doing business. It can have maximum 20  members. (10 in case of a Firm carrying on the business of banking)			Minimum 2 partners No bar on maximum number of partners	Minimum- 2 shareholders Maximum-200			Minimum – 7 No bar on maximum number of shareholders
Voting Rights		As per the terms of LLP Agreement.			Based on Partnership Agreement. Generally on the basis of Profit Sharing Ratio.	Voting rights are decided as per the number of shares held by the members.
Foreign Ownership	Foreigners are not allowed to invest in OPC. They have to be a Resident of India.	To be an investor or member of an LLP, the foreign nationals need to get prior approval of the Reserve Bank of India.			Foreigners are not allowed to invest in Partnership Firm. They have to be a Resident of India.	Foreign Nationals and Non-resident Indians can be a member of a Company as per the FDI policies. It is much easier to attract FDI in A Company than a partnership or an LLP.
Foreign Direct Investment	Not Allowed	Foreign Nationals or Non-Resident Indians can be a Partner in an LLP but subject to some restrictive guidelines and compulsory approval.			Not Allowed	Allowed
Remuneration		As per LLP Agreement			The firm can pay remuneration to its partners.	The firm can pay remuneration to its partners/ Directors as per the provisions of  Companies Act.
Annual Statutory Meetings	Minimum 2 Board  Meeting are Mandatory if there is more than One Director.AGM Not Mandatory	As Per LLP Agreement /alike Partnership Firm			No Provision of Holding any Meeting	Board Meetings and General Meetings are required to be held in the prescribed procedure and for the prescribed number of times as per drafted MOA AOA
Annual Filing	OPC must file the Financial statements and annual return with ROC. – No requirement of preparing cash Flow in the annual financial statements – Annual returns can be signed by the Director himself instead of A Company Secretary	Annual Statement of Accounts & Solvency along with the Annual Returns and Tax Returns must be filed with the  Registrar each year under Double Entry System on accrual basis. Basis .			No Statutory records but may have to keep records as per the Income Tax Act.	Annual Statement of Accounts & Solvency along with the Annual Returns and Tax Returns must be filed with the  Registrar each year under Double Entry System on accrual basis. Basis .
Auditing		All LLP except for those having turnover less than Rs.40 Lacs or Rs.25 Lacs contribution in any financial year are required to get their accounts audited annually as per the provisions of LLP Act 2008.			as per the provisions of the Income Tax Act	Annually as per Companies Act ,1956
Tax Structure	No provisions mentioned in the IT Act yet. Hence is treated as a Private Limited i.e. 30% in addition to the surcharge	Income of Company is Taxed at a Flat rate of 30% or 25% Plus surcharge as applicable. Profit-making Companies but those claiming Tax Exemption (except SEZ) have to pay 15% Minimum Alternate Tax (MAT)			Income of Partnership is Taxed at a Flat rate of 30%. No surcharge. Also profit-making firms but tax-exempt don’t have to pay Minimum Alternate Tax (MAT)	Same as Partnership Firm. But Two disadvantages as compared to a firm: 1.             Levy of Minimum Alternate Tax like Companies where book profit taxes is levied in case the income is tax exempt 2.             Presumptive taxation benefit not available u/s 44AD. Two key advantages over Companies:  1.No Deemed Dividend Taxes 2.No Dividend Distribution Taxes
Entity Conversion	Cannot be converted before 2 years when a One Person Company reaches a paid up Capital of 50 lakh rupees or more or when the average turnover of the company which is Rs. 2 Crores or more for a period of 3 years, then the company shall be converted into a private limited company after making the necessary changes in the memorandum of association and articles of association and shall comply with all the requirements of a private limited company. Conversion of a private limited company into a one person company- A private limited company which does not have a paid up capital of more than Rs. 50 lakhs or where the average annual turnover for the past 3 years is less than Rs. 2 Crores can convert itself into a One Person Company and enjoy the benefits as such.	Cannot be converted into a company
Restrictions on receipt of money from shareholders/ Directors/ Partners and Others (except banks and NBFC)	No restrictions for Directors Receipts	As Per LLP Agreement			No restrictions under the Indian Partnership Act, 1932	Considerable restrictions as per the Companies Act 2013and the Acceptance of Companies Deposits Rules. It has become difficult for Shareholders and others to lend money to Companies because of the same.
How We Assist  you	After obtaining the below primary documents Identity Proof  & Permanent Account Number (PAN) Cards and acceptable residence proofs of Directors  and Nominee 1.We Assist in getting DIN and DEC 2. Assist in Applying Name of a Company 3.Once you provide us a consent of Nominee  we further assist in completing final  final incorporation forms with the Memorandum and Articles and other required documents 4.so that you can receive  shall receive the final incorporation certificate from the register of companies. ( Will be done from ROC)	After obtaining the below primary documents Identity Proof  & Permanent Account Number (PAN) Cards and acceptable residence proofs for all Partners/ Designated Partners. No Objection Certificate from the owner and the Address proof of the place which shall be the registered office address of the LLP 1.We Assist in obtaining Minimum two   DIN and DEC (There must be Minimum  two Designated Partners in LLP) 2. Assist in Applying Name of a Company(Form 1) 3. Obtaining in Incorporation Certificate Form 2 4.Preparation of LLP Deed Disclosure of Partners ,Sharing Capital Contribution, Ratio, Liabilities Terms and Duties etc 5 Form 3 with 30 Days of Receiving Certificate of Incorporation			1..We Assist in getting DIN and DEC 2. Assist in Applying Name of a Company 3. Obtaining in Incorporation Certificate Form 4 Preparation of Partnership Deed	After Obtaining Documents as per Our Check List in Email 1.We Assist in obtaining Minimum   DIN and DEC 2. Assist in Applying Name of a Company 3. Obtaining in Incorporation Certificate 4.Preparation of MOA,AOS 5.Receiving Certificate of Incorporation( Will be done from MCA)