What is Partnership Firm?

Partnership Firm is the most suitable type of business structure as it is very easy to form and a minimum of two people are required to form a Partnership Firm online. In Partnership firm, there are very minimal compliances in comparison to other business entities. In simplified language, we can say that partnership creates a relationship between two or more people who have agreed to carry on a business for profit and these people are known as partners.

Enterslice is India’s leading platform in providing legal professional services through an online platform and our team of professionals can make the Partnership Firm Registration process quick and hassle-free.

What is Partnership Firm Registration?

To setup, a Partnership Firm in India, partnership firm registration is not necessary however it is always advisable to register a partnership firm to avail the legal benefits which cannot be availed in case partnership firm is not registered. Partnership Firm registration is the complete discretion of partners. Enterslice can help you in partnership firm registration in India; for this, you just need to provide certain documents such as documents related to place of the firm, documents related to partner for identification, the motive of setting up partnership firm, profit sharing ratio and duration of the partnership.

What are the features of Partnership Firm Registration in India?

  • Minimum two persons are required
  • Responsibilities and duties are shared among the partners of the Company
  • Easy to set-up as partnership firm registration is optional
  • Minimal legal formalities
  • Fewer Compliances
  • A minor cannot become a partner
  • Flexibility in decision making
  • Inexpensive to establish

What are the main components of the Partnership Deed?

  • Detail of the firm and its partners such as name and address
  • Nature of the Partnership Firm
  • Detail of capital contributed by each partner
  • Profit/loss sharing ratio among the partners
  • Interest on capital invested
  • Detail of drawings by partners or loans provided by partners
  • Salaries, commissions or any other amount to be payable to partners
  • Rights and duties/obligation of each Partner
  • A process which will be followed in case of retirement or death of any partner
  • Other mutually decided clauses

What are the documents required for Partnership Firm registration in India?

  • Partnership Firm registration application in Form 1
  • Certified Copy of notarized Partnership Deed on stamp paper
  • Specimen of Affidavit
  • Ownership documents in case property are owned.
  • If the property is on rent then rental agreement as a proof of principal place of business
  • ID Proof and address proof of all the partners (PAN/ Aadhar Card/ Driving License/ Copy of voter ID/ Passport)