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Can a public limited company become a partner in a partnership firm?
Yes, it can
What is a “Limited Liability Partnership” or “LLP”?
LLP or Limited Liability Partnership has become a popular form of organization among entrepreneurs in India. A Limited Liability Partnership gives the benefits of a Company & a Partnership Firm. An LLP in India is a Partnership Firm established by at least 2 Partners who enter into an LLP Agreement. However, the LLP Partner have limited liability and the LLP has perpetual succession just like a Company.
Can a pvt limited company be a partner in partnership firm?
Liability of a Pvt limited Company is limited - a mith. The fact is that liability of a share holder of a limited company is limited to the extent of value of the shares. In other words, the other assets of the shareholder can not attached for default of the company. So the liability of a limited company is limited to the assets of the company, not limited to the face value of the shares. On the other hand the partner of a partnership company has unlimited liability. i.e., the assets of the partner can be attached in case of default. Similarly, when a pvt limited company is a partner the liability of the company is unlimited and to the extent of assets of the company not to the assets of individual shareholders. So a limited company is a legal entity and can become a partner or proprietor of a firm.
Name of any partnership firm in India?
State Bank of India is one example of a partnership firm in India.
Under what circumstances a partnership can come to an end?
Partnership can come to an end by the following reasons. If they mentioned the validity to be a partner in the firm, under the partners mutual willingness to terminate himself from de partnership and if any partner misbehavied in a firm others can revoke that partner from the firm
Can a partner freeze the bank accounts of a partnership firm?
yes
Can a non resident become a partner under the Indian Partnership Act 1932?
can a non resident indian become a parter in partnership firm as per Indian Partnership firm.
Can I later convert my Partnership firm into a Company or LLP?
Yes, there are procedures for converting a Partnership business into a Company or a LLP at a later date. However, the procedures to convert a Partnership firm into a Company or LLP are cumbersome, expensive and time-consuming. Therefore, it is wise for many entrepreneurs to consider and start a LLP or Company instead of a Partnership firm.
What is the difference between dissolution of partnership and dissolution of firm?
Dissolution of a Partnership firm* Dissolution of a partnership means:-The act of ending of the old Partnershipagreement and a reconstruction of the firm due to admission, retirement and death of a partner. It may or may not close the business.* Dissolution of a Partnership 'firm' means:-The firm close its business then the assets of the firm are sold and liabilities are paid off and remaining amount is distributed among the partners.*Cases of Dissolution of Partnership :-1. In case of change in profit-sharing ratio of the exiting partners.2. In case of admission of a new partner.3. In case of retirement of a partner.4. In case of expulsion of a partner.5. In case of death of a partner.6. In case of insolvency of a partner.7. In case of expiry of the period of partnership.*Cases of Dissolution of Partnership firm:-*Without the intervention of the court:1. When all partners agree to dissolve the firm.[sec.40]2. Compulsory Dissolution [sec.41]· When all or one partner of the firm becomes insolvent.· When business of the firm becomes unlawful.3. On the happening of any incidents:[sec.42]· Insolvency of a partner.· Fulfilment of the object for which the firm was formed.· Expiry of the period.4. When any partner giving notice to other partners can dissolve the firm.[sec.43 ]· By order of the court [sec.44]: cases in which the court may order the dissolution of the partnership firm.1. A partner has become of unsound mind.2. When a partner unable to perform his duties as a partner.3. When a partner is guilty of misconduct.4. When a partner wilfully, commits violation of law of partnership agreement.5. When a partner has transferred the whole of his interest in the firm to a third party.6. The firm cannot be carried on except at a loss.7. The dissolution is just and equitable due to some other reasons.*Difference between Dissolution of Partnership and Dissolution of firm:-s.no.Dissolution of partnershipDissolution of firmI.Change in the exiting agreement between the partners.Dissolution of partnership between all the partners of the firm.II.The firm continues its business.The firm dose not continue its business.III.Books of accounts may not be closed.Books of accounts have to be closed.IV.Dissolution of partnership dose not mean the dissolution of firm.Dissolution of firm means the dissolution of partnership also.V.It is voluntary nature.It is voluntary and compulsory nature.
Can nri become partner in a partnership firm?
Yes, subject to fulfiiiment of certain conditions
What are the designation of partnership business?
Managing Partner Executive Chairman. Founder & CEO
What are the legal restrictions of starting a partnership firm?
A Partnership firm is not subject to excessive legal restrictions; therefore it enjoys freedom in administration. It is not required to file its annual accounts with the Registrar each year unlike a Limited Liability Partnership or Company. It can be easily dissolved. Any partner can give 14 days' notice to other partners and dissolve the firm with the consent of other partners. There is no requirement for audit of the accounts of a partnership firm annually as a Partnership firm is not required to file audited financial statements with the Ministry of Corporate Affairs each year. However, tax audit may be required for a Partnership firm if the turnover exceeds prescribed limits.
