| REGISTRATION |
Compulsory registration required with the ROC. Certificate of Incorporation is conclusive evidence. |
Not compulsory. Unregistered Partnership Firm will not have the ability to sue. |
Compulsory registration required with the ROC |
| NAME |
Name of a public company to end with the word “limited” and a private company with the words “private limited” |
No guidelines. |
Name to end with “LLP” Limited Liability Partnership” |
| CAPITAL CONTRIBUTION |
Private company should have a minimum paid up capital of Rs. 1 lakh and Rs.5 lakhs for a public company |
Not specified |
Not specified |
| LEGAL ENTITY STATUS |
is a separate legal entity |
Not a separate legal entity |
is a separate legal entity |
| LIABILITY |
Limited to the extent of unpaid capital. |
Unlimited, can extend to the personal assets of the partners |
Limited to the extent of the contribution to the LLP. |
| NO. OF SHAREHOLDERS / PARTNERS |
Minimum of 2. In a private company, maximum of 50 shareholders |
2-20 partners |
Minimum of 2. No Maximum |
| FOREIGN NATIONAL AS SHAREHOLDER / PARTNER |
Foreign nationals can be shareholders |
Foreign nationals cannot form partnership |
Foreign nationals can be partners |
| TAXABILITY |
The income is taxed at 30% + surcharges+cess |
The income is taxed at 30% + surcharges+cess |
Not yet notified |
| MEETINGS |
Quarterly Board of Directors meeting, annual shareholding meeting is mandatory |
Not Required |
Not Required |
| ANNUAL RETURN |
Annual Accounts and Annual Return to Filed with ROC |
No Returns to be filed with Registrar of Firms |
Annual statement of accounts and solvency & Annual Return has to be filed with ROC |
| AUDIT |
Compulsory, irrespective of share capital and turnover |
Compulsory |
Required, if the contribution is above Rs. 25 lakhs or if annual turnover is above Rs. 40 lakhs |
| HOW DO THE BANKERS VIEW |
High creditworthiness, due to stringent compliances and disclosures required |
Creditworthiness depends on goodwill and credit worthiness of the partners |
Perception is higher compared to that of a partnership but lesser than a company |
| DISSOLUTION |
Very procedural. Voluntary of by order of National Company Law Tribunal |
By agreement of the partners, insolvency or by Court Order |
Less procedural compared to company. Voluntary of by order of National Company Law Tribunal |
| WHISTLE BLOWING |
No such provision |
No such provision |
Protection provided to employees and partners who provide useful information during the investigation process |