How much it will cost to register an LLP in India?
Are you looking for information on how much it will cost to incorporate a company in India? We recently registered an LLP in Bangalore, India. In this post I will share my experience on registering an LLP in India and talk about various costs involved in incorporating a business in Bangalore, Karnataka.
We decided to register a new business in Bangalore so that I can manage my websites under a legal entity. We evaluated different types of business entities in India including Partnership, LLP and Private Limited Company. Considering various advantages of LLP over partnership firms and complexities involved in managing a Private Limited Company, we decided to go for registering an LLP.
How much it will cost to register an LLP in Bangalore, Karnataka, India
The registration cost to incorporate an LLP in India varies from state to state. Most people will want to take the help of professional companies to prepare the partnership agreement and various other documents to incorporate the LLP. That way, you can avoid errors and get things done quickly.
The cost involved in registering a business include various stamp duties, which varies by state. So the cost involved in incorporating a business can vary slightly depending on the state you choose.
The cost involved in incorporating an LLP depends on the Authorized Capital of the business. The following examples assume an authorised capital of 1 lakhs.
Stamp Duty for Karnataka State for registering LLP:
We registered our LLP in Bangalore which belongs to the Karnataka state. Here are the stamp duty details in Karnataka:
For Memorandum Of Association (MOA) Rs. 1000.00
For Articles Of Association (AOA) Rs. 500.00
For Power Of Attorney (POA) Rs. 100.00
For Statutory Declaration (Form 1) Rs. 20.00
Ministry of Corporate Affairs (MCA) Fees for registering LLP:
A significant portion of the fees for registering a business includes MCA fees.
For Memorandum Of Association Rs. 4000.00
For e-Form 1, 32, 18 & Articles Of Association Rs. 800.00
You can see above the total cost to incorporate comes to Rs 6420. However, when you go through an agency or chartered accountants to register the LLP, they will charge a good amount of fees to prepare the documents and complete the process. If you are not an expert in this field, it is highly recommended to hire an agency to do the company registration work for you.
The charges can vary from Rs 5000 to Rs 25000, depend on the type of business, number of partners and complexity involved in the partnership agreement.
CompaniesInn - Business registration and Company formation all over India
One of my friends referred me to "CompaniesInn", a Bangalore based company with offices all over India. They specialise in company formation and LLP registration in India. Their fees seem to be reasonable and they are very professional in all steps of the process. At each stage of the process, they called me and discussed various options. My only concern was, they have a lot of people involved in the process. I would rather prefer to deal with one person than talking to several different people.
I believe I got a discount since I went through a friend. This is their published rates for helping in incorporating an LLP in India:
CompaniesInn Fees (which includes DIN, Digital Signature, Name Checking, Memorandum & Articles drafting and Registration filing) Rs. 12311.88
Service Tax on CompaniesInn Fees ( @10.3% ) Rs. 1268.12
Total fees come to Rs. 13580.00.
They did a lot of work including preparing the partnership agreement, filing DIN number, filing the registration at the end etc. In my case, our partners already had DIN numbers, but we had to file a change of address. CompaniesInn handled all those very professionally.
Overall, I am very satisfied with their professional service. I would recommend CompaniesInn for incorporating an LLP or any other business entity in India.