CONVERSION OF LLP TO PRIVATE LIMITED COMPANY:-
In India, private companies are one of the most common forms of business structure. They provide higher chances of growth, development and are best for raising equity capital which is not possible in case of LLP. LLP structure is not suitable if the owners require venture capitalist or private equity investors to invest in their company as they would choose to invest in a private limited company and not a partnership or LLP. The second reason for conversion is the FDI in case of a private limited company does not require any approval it can be done directly unlike in an LLP. Especially if the promoters or owners of the company are NRI’s or a foreigner incorporating a private limited company is a preferable choice over an LLP. Hence conversion is mandatory if the above-mentioned requirements need to be fulfilled.
DOCUMENTS REQUIRED FOR CONVERSION OF LLP TO PRIVATE LIMITED:-
- PAN Card of shareholders and Directors & Foreign nationals may provide a passport.
- Voter ID/ Passport/ Driving License of Shareholders and Directors
- Telephone Bill /Electricity Bill/ Latest Bank Account Statement of Shareholders and Directors
- Latest Passport size photograph of Shareholders and Directors
- Electricity Bill/ Telephone Bill of the registered office address
- No Objection Certificate to be obtained from the owner(s) of registered office
- Rent Agreement of the registered office should be provided, if any
- A copy of the latest income tax return filed by the Limited Liability Partnership.
- NOTE:-In case of NRI or Foreign National, documents of director(s) must be notarized or apostilled.