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Some business which have started as limited liability partnership may now want to convert into private limited company for more growth in the business. It can be converted under section 366 of the Companies act,2013.

Minimum demands for conversion

There are many requirement which need to be fulfilled some of them are as follows:

  1. LLP should be registered
  2. Minimum of 2 shareholders should be there to convert LLP into Private limited company.
  3. There should be minimum of 2 directors in a company.
  4. There should be DIN and DSC’s for all the directors.

Procedure for conversion of LLP into Private limited company

  1. For changing LLP into private limited company the first step is to obtain no objection certificate from all the partners.
  2. After obtaining no objection certificate we need to make application for reservation of name which should be made to Central registration centre. We can use the same name of LLP if its available but the only difference is that we need to put ‘Private limited’ with such name.
  3. Then we need to publish English newspaper or any other language newspaper seeking objections if any within 21days from publication and this newspaper should be circulated in the district where the LLP is situated after reservation.
  4. After approval of name, we need to draft memorandum of association and article of association with the objective of the change.
  5. Then an e-form URC-1 has to be filled along with the required documents.
  6. Then all the required details are to be filled to MCA in spice forms once the drafting is completed.
  7. Then a certificate from a CA/CS certifying the compliance with all the provision of stamp act.
  8. After that statement of accounts of a company are prepared before 30days of date of application certified by author.

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