Overview
A Limited Liability Partnership (LLP) is a hybrid business structure that combines the benefits of a conventional partnership with the limited liability protection of a corporation. Formed and registered under the Limited Liability Partnership Act, 2008, an LLP offers partners the flexibility of organizing internal management based on mutual agreement while safeguarding personal assets against business debts and liabilities.
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(a) Hybrid Entity Structure
Combines organizational flexibility of traditional partnerships with corporate limited liability protection.
(b) Limited Personal Liability
Partners' personal assets are protected. Liability is limited strictly to their agreed capital contribution.
(c) Separate Legal Existence
Perpetual succession ensures the LLP continues as an independent legal entity regardless of partner changes.
(d) Lower Compliance Burden
No mandatory statutory audit unless turnover exceeds ₹40 Lakhs or contribution exceeds ₹25 Lakhs.
