Online Closure of Limited Liability Partnership (LLP) in India


Online Closure of LLP

The process of online closure of a Limited Liability Partnership (LLP) in India is similar to the process of closing a company, with the difference being that it is carried out primarily through the Ministry of Corporate Affairs' (MCA) online portal, MCA21. Here is the general process of online closure of an LLP in India.

A registered LLP may face difficulties in carrying out its business operation due to adverse business conditions or lack of finance. Due to such business conditions, the partners may lose interest and intention to carry out further business activities. The government has given an option for voluntary closure of LLP, using which an LLP may apply to strike off or remove its name from the register, which is maintained by the ROC. It is one of the easier, faster, and less economical methods of Closing an LLP.

It's important to note that the process of online closure of an LLP in India can be complex, and it's advisable to seek the assistance of a professional, such as a chartered accountant or a company secretary, to ensure that the process is completed correctly and in a timely manner.

Advantages Of Voluntary Online Closure of LLP

  • Easy exit opportunity for Entrepreneur’s

The process of closing an LLP by way of strike off is easy and convenient for entrepreneurs. The process of application for closure can be done online and further the Registrar will close the LLP if there is no objection from Regulators within 10-12 months of time.

  • Avoid requirement of yearly Compliances

An LLP has to file annual returns and other documents every year to the Registrar of Companies (ROC) and other regulatory authorities. In a case, the LLP is not doing any business or does not foresee any business in the coming years, then it can proceed towards closure of the LLP in order to avoid the cost of yearly compliances.

  • Avoid burden of Penalties

When an LLP does not comply with the requirement of filing a financial statement, annual return, or any other statutory forms, a heavy monetary penalty and additional government fees may be imposed on the LLP and its partners. Therefore, to avoid such consequences, closure of the LLP is always a better option.

Read more - All you need to know about Online Closure of LLP in India


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