Till some time back Private Limited was the only available choice for incorporating limited liability business in India. Now we have LLP as another choice. Many businesses which had to incorporate as Private Limited but are more suited in LLP form can look to migrate/ convert to LLP thereby reducing various compliance and reporting requirements associated with a Private Limited Company.
In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to go about converting a Private Limited into a LLP. It also looks at various tax and compliances that needs to be complied with, various restrictions the law imposes post conversion and possible areas which needs to be thoroughly examined before taking a call to convert.