Partnership Firm Registration

Partnership Firm is the common suitable kind of business structure as it is very simple to form. A firm or company formed between 2 or more partners to earn a profit is named as a “Partnership Firm”. In a Partnership firm, there are very least compliances in comparison to other business entities. A “partnership deed” is a legitimate document that is created to form a partnership firm. In India, a supreme law that is Indian Partnership Act 1932 regulates the partnership firms. According to the act ” Partnership is the relation among partners/individuals who agree to share the profits of the business as equal and the same for all. The minimum count of partners is 2 and there is no set limit for the maximum number. Before commencing a partnership firm you must know that partnership firms are not separate legal entities. The partnership firm can’t be debtor or creditor plus own property. The partnership deed needs to mention “amount of profit or losses share between partners”, to avoid future interruptions. So partnership deed registration is required. However registration of Partnership Firm is not mandatory. All partners can carry on business on part of others. The partnership firm dissolves in some cases that is the number of partners decreases below 2 in case of death, incapacitation or withdrawal of a partner.

Procedure of registration of partnership firm

• Step 1: Fill up the application form

  In this form, you have to mention the details of the business and partners’ personal details. Plus you have to mention the Name of your partnership firm along with “Co.” suffix at the end of the name. However mentioning “Co” is not compulsory you may use “Enterprises, Associates, Trading Co., etc except Limited, Private Limited, Foundation, Chamber.

• Step 2: Name approval

  Before submitting the names of your partnership firm it’s important to check them carefully through online software. Wherein you can see the availability of names. Give 2-3 names for name approval with MCA.

• Step 3: Drafting Partnership Agreement

  Our expert team drafts a partnership agreement for you wherein all the specifications by the partners are specified. You can verify all the documents and the partnership agreement. After all the preparations the final application is forward to the registrar of firms.

• Step 4: Partnership firm registration certificate

  Complying to all the guidelines of Indian partnership Act. A certificate of Registration is then issued, by the registrar of firms and a copy should be given to all the partners. Along with PAN & TAN of the firm with opening of a bank account of your partnership firm

Requirements before applying online registration of partnership firm

Before you enroll for online registration of partnership firm applicant must adhere to these guidelines :

• Beginning a partnership firm requires a minimum of 2 people. There is no set limit for the maximum. In banking firms, there can be 10 partners and 20 or more in case of any other business.

• There are no minimum capital standards to commence a partnership firm.

• All the Partnership firms that incorporate must make an agreement name as Partnership deed. After this, they are tied on a contractual basis and are enrolled as a legal business entity in India.

• Partners who are creating a partnership must qualify in accordance with the provisions given in the Indian contract act.

• All the directors must attain the age of 18 or above

• In a Partnership firm, the responsibility of partners is unlimited. Because it has no separate Legal entity so the associates have to bear the loss and pay off debts from their personal assets and money.

So, the registration of the partnership firm notes all requirements before applying for application online.