Llp vs Pvt – The processes for Private Limited Company and LLP registration are straightforward and somewhat identical to one another. In the establishment of these businesses, we have mentioned important steps in the following article with detailed registration procedures.

Llp vs Pvt

Llp vs Pvt ltd (Comparison)

The Pvt ltd. corporation varies from the LLP. Let’s talk about a deeper understanding here.

ParticularsPvt Ltd Co.Limited Liability Partnership (LLP)
Law ApplicableCompanies Act 2013Limited Liability Partnership Act, 2008
Members RequiredMaximum 2Minimum 200Minimum 2Maximum no limit
Directors requiredMinimum 2Maximum 152 designated partnersMaximum not applicable
Board meetingMinimum 4 board meetings to be held each year. (within 120 days of previous board meeting)Not necessary
Statutory AuditMandatoryNot compulsory unless partner’s contribution exceeds 25 lakhs or annual turnover exceeds 40 lakhs
Suitable to which typeBusinesses having turnover, entrepreneurs who need external funding.Startups, Businesses, trade, manufacturers, etc. 
Company NameShould end with Pvt. Ltd.Should end with LLP.
Time to incorporate companyNormally 4-7 working daysNormally 3-5 working days.

Conclusion-

Although in a scenario there is more than one individual who wants to start a company with limited liability than the Limited Liability Partnership is really for you.