Comparison of llp with company

Comparison of LLP with Company

1. By:
Corporate Law& Direct Tax Vertical
Asija & Associates LLP
Chartered Accountants

2. M/s Asija & Associates LLP, Chartered Accountants

3. M/s Asija & Associates LLP, Chartered Accountants

4. M/s Asija & Associates LLP, Chartered Accountants

5. M/s Asija & Associates LLP, Chartered Accountants

6. COMPARISON BETWEEN LLP AND COMPANY
Criteria LLP Company Whichis better
LLP / Company
RegisteringBody Toberegisteredwith
RegistrarofLLP.
Toberegisteredwith
RegistrarofCompanies
_
CharterDocumentLLPagreementisthe
charterdocument
MemorandumofAssociation
isthecharterdocument
_
Annual General
Meeting
NotMandatory Mandatory LLP
AuditRequirementIfturnoverexceedRs.40
LakhsorContribution
exceeds25Lakhs,then
auditismandatory
Auditofaccountsis
mandatory
LLP
RegistrationcostComparativelyCheaperComparativelyExpensive LLP
Dividend
DistributionTax
NotApplicable DDT@15%* LLP
M/s Asija & Associates LLP, Chartered Accountants

7. COMPARISON BETWEEN LLP AND COMPANY
Criteria LLP Company Whichis better
LLP / Company
CostofComplianceVeryLess QuiteHigh LLP
BoardMeeting NotRequired Mandatory LLP
Management Managedbythe
DesignatedPartnersas
perLLPagreement
ManagedbytheDirectors
elected/appointedby
membersofcompany
_
Preparationof
Financial Statements
NoSpecifiedFormat
prescribed
Statementstobemadeas
PerScheduleIII
LLP
BoardReport NotRequired MandatorilyRequired LLP
Filing of Financial
Statements
NotRequired MandatorilyRequired LLP
Registration of
Charges
Not Required Required LLP
Methodof
Accounting
Cash or Accrual Accrual LLP
M/s Asija & Associates LLP, Chartered Accountants

8. COMPARISON BETWEEN LLP AND COMPANY
Criteria LLP Company Whichis better
LLP /
Company
Minimum Number of
Members
2Partners OPC: 1Member
PrivateCompany: 2 Members
Public Company: 7 Members
_
Maximum Number of
Members
Unlimited PrivateCompany:200
Members
PublicCompany:Unlimited
LLP
Preparation of
minutes
Not Required Required LLP
Maintenanceof
Statutory Registers
NotRequired Required LLP
Liability Theliabilityof
partnersareLimited
tothecontribution
as per LLP
agreement
The liability of members are
Limited to the share taken or
guarantee given and does not
extends to personal property
_
M/s Asija & Associates LLP, Chartered Accountants

9. CONCLUSION
M/s Asija & Associates LLP, Chartered Accountants

10. M/s Asija & Associates LLP, Chartered Accountants

11. M/s Asija & Associates LLP, Chartered Accountants

12. Disclaimer
M/s Asija & Associates LLP, Chartered Accountants

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