LLP Conversion

The eligibility for conversion of private companies/ unlisted public companies into LLP will be as under:

A company may convert into a LLP by complying with the requirements as to the conversion set out in the Schedule.

A company may apply for conversion into a LLP in accordance with the Schedule if and only if:

• There is no security interest in its assets subsisting or in force at the time of application
• The partners of the LLP to which it converts comprise all the shareholders of the company and no one else

Procedure
For the inception of conversion process it is incumbent upon the applicant company to file LLP Form 1 for reservation or change of name, with the Registrar.

The applicant company is subsequently required to file LLP e-Form 2, with the Registrar for incorporation and submission of subscriber's statement. LLP form 18 should also be filed along with LLP e-Form 2, with the Registrar. This form is meant for filing application and statement for conversion of the applicant company.

The LLP Act provides for the mandatory intimation of the Registrar of Companies with the perusal of Form 14, which is filed within 15 days from the date of registration.

The conversion process ends with the filing of LLP agreement with the Registrar in LLPe- Form 3 within 30 days from the date of incorporation. The Registrar shall after satisfying himself that all the requirements stipulated under LLP Act, 2008 and LLP Rules, 2009 have been complied with by the company shall register the documents submitted by the company and issue a fresh certificate of registration under LLP e-Form 19.