Partnership Firm

Partnership Firm

In India, partnership businesses fall under governance and get regulated under the Indian Partnership Act, of 1932. Partners are the people who work together to establish a partnership company. The partnership business is founded by an agreement between the partners. A partnership Agreement is a contract between the partners that governs the relationship between the partners as well as the partnership company.

To register a partnership, two or more persons must come together as partners, agree on a business name, and sign a partnership deed. Partners, so, cannot be members of a Hindu Undivided Family or husband and wife.

Registration Process

Step 1: Submit an Application for Registration

Along with the specified fees, an application form must be completed with the Registrar of Firms of the State in which the firm is located. All partners or their agents must sign and verify the registration application.

The application, which includes the following information, can be mailed or delivered to the Registrar of Firms:

• The organization's name.
• The company's main location of operations.
• Where any more locations where the company does business are.
• Each partner's date of incorporation.
• All the partners' names and permanent addresses.
• The firm's duration.

Step 2: Choose a Name for the Partnership Firm

A partnership firm can be given any name. However, some parameters must be met while choosing a name:

The name shouldn't be too close to or identical to another company already operating in the same industry.Emperor, crown, empress, empire, and any other terms that suggest official authorization or support should not be included in the name.

Step 3: Registration Certificate

If the Registrar is satisfied with the registration application and accompanying evidence, the firm will be registered in the Register of Firms and awarded the Registration Certificate. All businesses' most recent information is available in the Register of Firms, which anybody can access for a charge.

To register a company, you must submit an application form and payment to the state's registrar of firms. All partners, or representatives of each partner, must sign the application.

Step 4: Documents for Partnership firm registration

The following documents must be sent to the Registrar in order for a Partnership Firm to be registered:

• Application for partnership firm registration (Form 1)
• Partnership Deed genuine certified copy.
• a sample of an affidavit attesting that all the information in the partnership deed and other papers is accurate.
• The partners' PAN cards and verification of addresses.
• Evidence of the company's primary location (ownership paperwork or a rental or lease agreement).

If the documentation is acceptable to the registrar, the company will be entered into the Register of Firms and granted a Certificate of Registration.Anyone can browse the Register of Businesses after paying a specific price and it provides the most recent information on all firms.

Step 5: Registration Fees for Partnership Firms

Depending on the participation of the partners, different states have different government costs for registering a partnership business. Yet, you may use the ClearTax Partnership Business Registration to submit your application for registration of a partnership firm online.

Amount of the Partnership Firm Registration Plan: ₹5499*. Services covered by the Partnership Firm Registration Plan cost include:

• Application PAN
• Drafting partnership agreements
• Registrar of Firms filing of deeds and other documents
• Certificate of Registration Issue
• Completely online method
• Meeting with a Cleartax specialist