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Get your Partnership Firm Registration in just three simple steps
  • Get excellent guidance to choose a creative name for your Partnership firm
  • Draft Partnership agreement as per Partnership Act, 1932
  • Register your Partnership Firm with registrar of firms.
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Partnership Firm Registration

An Overview- Partnership Firm Registration in India

A partnership firm is one of the most suitable forms of business in which two or more people together form a business and are agreed to share the profits and losses in decided ratio. They operate and manage the business in accordance with the terms and conditions listed in the Partnership agreement.

Partners have unlimited liabilities, it means they are liable for the debts of business. These types of partnership businesses are easy to form and regulate. Partnership firms is always a recommendable option due to low cost, ease of setting up of business and minimum compliances requirements.

The registered partnership firm is governed by Indian Partnership act, 1932. All the rights and duties of the partners of a firm are governed partnership deed. Partnership deed is prepared in accordance with Indian Partnership Act, 1932.

We ensure perfect customer satisfaction and timely delivery of services by team of qualified expert team and Chartered Accountants. With Startup Club India, you will get partnership firm registration seamlessly.

Documents required for the Partnership Firm registration in India

Following Documents will require to register partnership firm in India.

Partnership Deed

The foremost work of partnership firm registration is drafting of partnership deed. To avoid future conflicts, you are advised to prepare it in writing. Partnership Agreement is the rule book of rights and duties of partners.Partners of the partnership firms are having liability for company debts or any business debts.

Documents of Partners

  • For identity proof : Scanned Copy of PAN
  • For address proof : Scanned Copy of AADHAAR card/ Voter ID/ Driving License

Firm Office Address

  • Any utility Bill : Electricity Bill/ Telephone Bill/ Mobile Bill etc.
  • Rent Agreement if rented/ leased

Trade/legal name of the firm

Why to choose Partnership Firm registration in India?

  • Easy to Start

    To start a partnership firm, you need to prepare a partnership deed which contains various terms such as profit/loss sharing, salary, interest on capital, drawings, admission of a new partner, etc. There are few states of India which makes mandatory for registration of Partnership Firm. In some states registration is not required, you have to only prepare partnership Deed.

  • Synergy Creation

    If you are starting or managing a business alone, it is very complex and stressful. But in case of partnership business, it is easy to maintain and operate the business with companionship and mutual support. They share the profits, losses and other liabilities according to the constitution of Partnership deed. Partners are personally responsible or liable for company debts.

  • Sharing a Risk

    One of the most significant benefits of a partnership business is that risk is distributed evenly among all partners. Because a partnership has several partners, the risk is spread out among all.

  • Ownership management

    The owners of the partnership firm are partners, so it is easy for them to take any decision. Decision making in partnership is easy as compared to other corporate entity.

  • Access to knowledge, skills and better decision making

    In partnership firm, each partner comes with their own knowledge, skills and experience. Potentially, it gives a better chance of success. During a critical situation, it is better for partnership firms to have a solutions based on mutual decision.

  • Minimal compliances

    In case of Partnership Firms, audit of accounts is required to be conducted only if the turnover exceeds Rs. 50 Lakhs/ Rs. 1 Crore

  • Easy Winding Up

    In case of Partnership Firm, any partner can dissolve the firm by giving a notice of dissolution to other partners.

A Detailed Process of Partnership firm Registration in India

It is easy to form a partnership firm. It needs minimal compliances. Follow these simple steps to register a Partnership firm in India.

  • 1

    Select a unique name

    You should choose a unique name for your business as per the discretion of partners.

  • 2

    Make a Partnership Deed

    The next step of registration is to prepare a partnership deed, which contains the various terms such as profit/loss sharing, salary, interest on capital, drawings, admission of a new partner, etc.

    Partnership agreement should include the following mandatory points

    • Complete details of the partners
    • Address and name of the firm
    • Type of business, which will start
    • Effective date of partnership firm registration
    • Ratio of profit or loss to be shared
    • Partnership duration
    • Withdrawal of money
    • Salaries and incentives
    • Death, Admission or Retirement of partners

  • 3

    3. Firm’s PAN Card

    The Firm's Partners must apply for the firm's PAN card. To apply for a firm's PAN, they must fill out Form 49A. They ought to go - https://www.onlineservices.nsdl.com/paam/endUserRegisterContact.html

  • 4

    Open a Current Account of the Firm

    The firm needs to submit following documents for opening a current bank account, which are as follows:-
    • Partnership deed
    • PAN card of the Firm
    • Address Proof of the firm

FAQs on Partnership Firm Registration Online

Minimum of 2 persons and maximum of 20 is required for the formation of a partnership firm.
A partnership deed is an agreement between the partners of a firm that outlines the terms and conditions of partnership among the partners. It specifies the various terms such as profit/loss sharing, salary, interest on capital, drawings, admission of a new partner, etc.
If you want customers to be able to find you, talk about you and recommend you, you need a business name, which should define your business.
There is no minimum capital requirement as such.
Any individual who is of the age 18 and above can be a partner in a Partnership firm. An Individual can be a partner in a representative capacity of HUFs (Hindu Undivided Family).
Any partner cannot transfer his right to an outsider without the consent of all the partners and similarly without the consent of all partners, he cannot bring a new partner.
The documents required for partnership firm registration are listed above.
The benefits of Partnership firms are :
  • Minimal compliances required for its registration.
  • Equal share of liabilities.
  • Management and ownership is very simple
  • It is economical and suitable for small business.
There are mainly five types of partners :
  • Active partner
  • Dormant Partner
  • Nominal Partners
  • Profit Partners
  • Minor partners
Since minor cannot be a partner, but he can be registered for the benefits of Partnership on the consent of partners.

It is the partnership firm which can be dissolved by any partner. It has no partnership Agreement.

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