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If the LLP has not commenced any business for the last one year or are not engaged in any of the business activity or if they do not have any assets and liability on the date of application then LLP can be easily closed  and the closure of the LLP is a mutual consent of all the partners.

Procedure of LLP Closure

  1. Firstly , a special resolution has to be passed by all the members of the company that will indicate the acceptance of LLP Closure.
  2. Then form-1 is to filled with the MCA in less than 30days of the resolution together with the copy of resolution.
  3. Then for confirmation, a declaration of atleast two members is needed that will state that it has no debts and liability and if it has then it need to be settled in less than one year from the beginning of winding up.
  4. Then form-4 is to submitted together with the report of LLPs asset  to the registrar within 15days of filling a form with a statement that the LLP is not closing to cheat anyone.
  5. After that we need to acquire consent of all the creditors for the closure of LLP.
  6. Then we need to file advertisement in the local newspaper within 14days of receiving consent from creditors and if the LLP has assets and liability then a liquidator is appointed and his statement is filled applying form-6.
  7. Then we need to conclude all the formality by preparing LLPs final account and submit them together with form-9.

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