Category: Companies Act

When the startup’s product is well-received by the market, focus is then on to scale up rapidly. For this,  founders may approach investors to raise funds. Investors invest against various securities like equity shares, preference shares, debentures, etc. These securities cannot be issued by an LLP. Therefore, a business operating as LLP must be converted… Continue reading Process for Conversion of LLP into Company

In the product development and testing phase, startup will extensively interact and transact with vendors and customers. This increases the probability of unforeseen liabilities and in turn the necessity of limited liability. Therefore, at this stage basic corporatization is advisable. This would mean that entrepreneurs may convert their partnership to LLP (limited liability partnership). Let… Continue reading Procedure for conversion of Partnership firm into LLP