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Partnership is an association of two or more persons to carry on a business in the capacity of co-owners. Partnership can be between two Individual, Company or Organization. Registration of Partnership Firm comes under Partnership Act, 1932. In the partnership Firm, Partnership deed is an important document which covers all terms and conditions as mentioned including their profit sharing ratio. Partnership Firm require to register with Registrar of Firm.
Partnership Deed is a Legal Documents which covers information’s like, Nature of Business, Duration of partnership, Capital, Dispute settlement, etc. Life of Partnership Firm is depend upon partners, they can continue it as per the mutual decided period, but the firm is not work on perpetual secession. One important point is liability of partners in Partnership Firm is unlimited irrespective of their shares proportion. As per the Indian Partnership Act, 1932 maximum partners can be 20.
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Partnership firm has two types i.e Registered Partnership firm and Non-Registered Partnership firm.Partnership Firms can be register under Partnership Act, 1932 with registrar of firm. Registration of Partnership Firm is compulsory by law only in Maharashtra.
As per the Partnership Act, 1932 Liability of Partners in partnership firm is unlimited irrespective of their share proportional, at the time of paying personal assents also consider.
In any entity while doing business many times arise fund shortage issues. In the partnership firm borrow fund from public is not easily available as compare to Private Limited Company like share issues. But you can add investor as a partner.
Ans:A Partnership Firm is a organisation that are Registered by a group of people with Partnership Deed.
Ans: It is not compulsory to register but it is compulsory in Maharashtra.
Ans: Maximum number of partners are 20.
Ans: The registration and all the compliances are online.
Ans:Yes it is necessary.
Ans: The advantages includes one partner can sue other in court and can also sue any third party in the court. It has astand in the court of law.
Ans: The registrar, after thorough examination of the documents, will issue a registration certificate.
First stage of registration of Partnership Firm is to check the name availability with ROF. It will take around 1-2 working days for the confirmation.
After the confirmation of Name we require to Draft the Partnership Deed with all material information require in partnership deed. Also discuss with partners all the points with cover in deed..
Once the partnership Deed final, we require to do Notary and Registration of Deed. Excluding Maharashtra, Registration of partnership deed is optional, but it is advisable to Register Firm. After that application for the PAN.
TruFilings can easily register a Partnership Firm within 12-14 working days