Overview
A Proprietorship is the simplest form of business, managed by a single person. While it is easy to start and operate, it has several limitations such as unlimited personal liability, limited capital, and lack of legal recognition as a separate entity. As the business expands, a single person may find it difficult to handle growing responsibilities, financial risks, and decision-making alone. In such situations, converting the proprietorship into a Limited Liability Partnership (LLP) becomes a smart and strategic decision.
An LLP is a business structure that combines the benefits of a partnership and a company. It is a separate legal entity registered under the Limited Liability Partnership Act, 2008, offering limited liability protection to its partners. This means the personal assets of the partners remain safe in case of business losses or legal issues. An LLP also gives higher credibility, easier access to funding, and better long-term stability than a proprietorship. The conversion process involves forming a new LLP with the proprietor as one of the designated partners and transferring the existing business to it.
At BizGlobal, we help business owners smoothly convert their proprietorships into LLPs. We assist in preparing the LLP Agreement, obtaining Digital Signature Certificate (DSC) and Designated Partner Identification Number (DPIN) for partners, filing incorporation forms with the Ministry of Corporate Affairs, and transferring registrations like GST and PAN. Our team ensures the entire process is legally compliant, quick, and stress-free, so you can focus on expanding your business in its new legal form.
