ISO 27001: Information Security Management
ISO 27001: Information Security Management – A Simple Guide In today’s digital world, keeping sensitive information safe is more important...
Closure Of LLP
Closure of LLP refers to the process of winding up and dissolution of a Limited Liability Partnership (LLP).To begin the process for winding up of LLP, a resolution for winding up of LLP must be passed and filed with the Registrar within 30 days of passing of the resolution. In compulsory winding up an LLP may be compulsorily wound up by the order of the tribunal. There are certain circumstances for the LLP compulsory winding up. For example, when LLP is unable to pay off its debts, where the number of partners of the limited liability partnership is reduced below two and it continues for more than six months.
6000+
Happy Clients
14+
Years Experience
Free Consultation by Expert
6000+
Happy Clients
14+
Years Experience
Overview of Closure Of LLP
An LLP may decide to wind up its business by two modes, either by voluntarily winding up or compulsory winding up. Involuntary winding up partners may decide between themselves to wind up the operations of the business. Following are some requirements for voluntary winding of LLP:
• 3/4th approval of Partners.
• Declaration by partners that LLP has no debt or that it will be competent to pay full debts within not more than 1 year from the start of winding up.
• The declaration that LLP is not wound up for defrauding any person.
• Statement of assets & liabilities up to date.
• Valuation of assets.
• Resolution for the reason of voluntary winding up.
To begin the process for winding up of LLP, a resolution for winding up of LLP must be passed and filed with the Registrar within 30 days of passing of the resolution. In compulsory winding up an LLP may be compulsorily wound up by the order of the tribunal. There are certain circumstances for the LLP compulsory winding up. For example, when LLP is unable to pay off its debts, where the number of partners of the limited liability partnership is reduced below two and it continues for more than six months.
In 2017, MCA introduced LLP Form 24 for making the procedure of winding up easy & simple. An LLP who wants to wound up can apply for striking off its name by applying LLP Form 24.
Advantages of Closure Of LLP
- Avoids Legal Complications: Closure of LLP avoids any future legal complications that may arise due to non-compliance with the regulatory requirements. It ensures that the LLP does not incur any penalties or fines for non-compliance.
- Efficient Use of Resources: Closure of LLP ensures that the resources of the LLP are efficiently utilized. It helps the partners to allocate their resources in more productive ventures.
- Ease of Business Closure: Closure of LLP is a simple process and can be completed quickly. It helps the partners to close the business without facing any hurdles.
- Better Credit Rating: Closure of LLP helps the partners to maintain a good credit rating. It shows that the partners have responsibly closed the business and have complied with the regulatory requirements.
- Reduced Liability: Closure of LLP ensures that the partners are not liable for any future claims or debts of the LLP. It helps the partners to avoid any personal liability in case of any future claims against the LLP.
Registration Process of Closure Of LLP
Step 1: Document Preparation: A Business Expert reviews the activities of the LLP and determines the documents required for commencing LLP winding up. It will take around 3-4 working days
Step 2: Document Submission: The necessary documents are prepared by an Expert for winding up of the LLP. Documents will be prepared by the Expert based on the documents and information provided. It will take around 10-12 working days.
Step 3: Winding up Process LLP :winding up documents and application is submitted to begin the process. Throughout the process, the application is tracked and necessary filings are made to wind up affairs of the LLP. The whole process of winding up will generally take 20-25 days, subject to MCA processing time.
Documents Required of Closure Of LLP
1. Application for Striking off of the LLP.
2. Partners Meeting Resolution for closure.
3. Consent of Partners
4. Partners’ Affidavit
5. Indemnity Bond
6. Statement of Assets and Liabilities.
FAQ's on Closure Of LLP
Legalsuvidha's Office
Our Credibility:
Helped
6000+ Businesses
Experience
14+ Years
Rating
4.9 / 5 Star
Share this Service:
Free Consultation by Expert
Why Choose Us?
With a commitment to exceeding expectations and a passion for delivering results, choosing us means choosing a partner dedicated to your success.
Free Legal Advice
We provide free of cost consultation and legal advice to our clients.
Experts Team
We are a team of more than 15+ professionals with 11 years of experience.
Tech Driven Platform
All our services are online no need you to travel from your place.
Transparent pricing
There are no hidden & extra charges* other than the quote/invoice we provide.
100 % Client Satisfaction
We aim that all our customers are fully satisfied with our services.
On-Time Delivery
We value your time and we promise all our services are delivered on time.
Quick Response
We provide free of cost consultation and legal advice to our clients.
People Who loved our services!
In this Journey of the past 14+ years, we had gained the trust of many startups, businesses, and professionals in India and stand with a 4.9/5 rating in google reviews.We register business online and save time & paperwork.
Now all Professional Services in a Single Click !
- Registration/Incorporation for all companies
- Income Tax Filings
- GST Registration & Filing
- Company Annual Filings
- Trademark Registration
- Licensing
Stay Updated with Latest News!
Explore more of our blogs to have better clarity and understanding
of the latest corporate & business updates.
Essential Business Licenses for E-Commerce Startups in India
Operating an online store comes with numerous benefits—but also regulatory obligations. Securing the right licenses and permits is essential to...
Executive vs Non‑Executive Directors: Roles, Responsibilities, and Governance
Directors shape a company’s governance and strategic direction. Among board members, Executive Directors and Non‑Executive Directors (NEDs) play distinct yet...
Articles of Association (AOA): Governance Rules and Legal Implications
The Articles of Association (AOA) form the backbone of a company’s internal governance, setting out the rules, rights, and responsibilities...
LLC vs Corporation (Inc.): Choosing the Right U.S. Entity Structure
Selecting the optimal legal form is a critical decision when launching your U.S. venture. Both LLCs and Corporations offer liability...
Expanding Your U.S. Business into India: A Complete Guide
Expanding your U.S.-based business into India unlocks access to a vast consumer market, a skilled workforce, and cost advantages—but also...
Frequently Asked Question
Here are some answers to potential questions that may arise as you start your business.
Looking For More Information? Contact Us
