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What is Partnership Firm?

A Partnership Firm is an organization that is formed with two or more persons to run a business and divide the profits thereof in an agreed ratio. Each member of a group is called a partner and collectively known as a partnership firm. The Partnership firms are governed by an Indian Partnership Act, 1932. The firm is easy to form and the compliance is minimal as compared to companies.

Partnership Documents Required

There is a number of documents that are required for the registration of the Partnership deed. Here is the list of documents:-

  • Form No. 1 – Application for registration under Partnership Act
  • A true or original copy of Partnership Deed, signed by all partners
  • Affidavit mentioning intention to become a partner
  • Lease or rental agreement of the property/building where the business is set up
  • Address proof of the partners which includes PAN card, Aadhar card, Voter ID, driving license.
Requirements for Private Limited Company Indian Directors
Identity Proof Passport, Election card or voter identity card, Driving license.
Residential Proof Bank Statement, Mobile Bill, Telephone Bill, Electricity Bill
Passport Not Mandatory
PAN Card The copy of PAN card need to submitted during the process.
Registered Office Proof Electricity bill, gas bill, or property tax receipt authorized from landlord. (NOC from Landlord). The proof of evidence of any utility services like gas, telephone, electricity, etc.
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Why EntrepreneurCell helps you?

EntrepreneurCell is one of the remarkable and trustworthy company which provides progressive services to get Partnership Firm in very simple steps. We committed to providing the following strategies to every business owner are as follows:-

  • Easy and simple to Incorporation of Partnership
  • Full and extensive support in filling up the documents requirement form.
  • All the documents required for registration will be filed in a proper manner
  • Restrain through the whole registration procedure
  • Answers for all your questions and concerns

These are some of our commitments join hands with us to know more about our services and start your partnership firm in very less time and come in the market soon.

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Frequently Asked Questions

An application form with fees needs to be submitted to the Registrar of Firms of the State in which the firm is situated. The application required to be signed by all the partners or by their agents.

The registration of a Partnership Firm in India can take normally 12 to 14 working days. Moreover, the time required to issue a certificate of incorporation may vary as per the regulations of the concerned state. It is also subject to Government processing time which varies from state to state.

The scope of liability is not much as every partner is jointly liable with all of the other partners and also individually, for all the activities of the firm, during the course of the business while he/she is a partner. It means if a loss or injury happens to any third party or a penalty is levied during the course of a business all partners will be held liable even the loss or injury was caused by one of the partners.

In a case if the partners of a firm want to end the partnership, they can do that by dissolving the partnership by notice, if it is a partnership of will. The partnership can be dissolved by following the terms laid out in the partnership deed or can create a separate agreement.

Very often, if the partnership agreement is not registered, the court might consider a partnership is invalid. And if the objective of the business is illegal, the court may deem the partnership invalid and dissolve the partnership.

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