Optimize IAS
  • Home
  • About Us
  • Free Initiatives
    • Daily Practice Sheets
    • Daily Prelims Notes
    • Prelims Power Play
    • Mains Factly
    • Sunday Essay Sadhna
  • Courses
    • Mains Master Notes
    • Prelims Test Series
      • Laqshya 2024
    • Integrated Guidance 2024
      • ARJUNA PRIME 2024
    • Daily Answer Writing
  • Downloads
    • Important Topics List for Prelims 2023
    • Daily Prelims Notes Compilation
    • Daily Practice Sheet Compilation
    • PPP Compilation
    • PSIR Notes
    • General Studies Notes
    • UPSC Mains Previous Year Papers
  • Portal Login
  • Home
  • About Us
  • Free Initiatives
    • Daily Practice Sheets
    • Daily Prelims Notes
    • Prelims Power Play
    • Mains Factly
    • Sunday Essay Sadhna
  • Courses
    • Mains Master Notes
    • Prelims Test Series
      • Laqshya 2024
    • Integrated Guidance 2024
      • ARJUNA PRIME 2024
    • Daily Answer Writing
  • Downloads
    • Important Topics List for Prelims 2023
    • Daily Prelims Notes Compilation
    • Daily Practice Sheet Compilation
    • PPP Compilation
    • PSIR Notes
    • General Studies Notes
    • UPSC Mains Previous Year Papers
  • Portal Login

LIMITED LIABILITY PARTNERSHIP

  • January 19, 2021
  • Posted by: OptimizeIAS Team
  • Category: DPN Topics
No Comments
Print Friendly, PDF & Email

 

 

LIMITED LIABILITY PARTNERSHIP

Subject : Economics

Context :Decriminalising various offences and permitting LLPs to issue non-convertible debentures are among the changes being proposed under the Limited Liability Partnership (LLP) Act.

Concept :

  • LLP is an alternative corporate business form that gives the benefits of limited liability of a company and the flexibility of a partnership. Hence LLP is called a hybrid between a company and a partnership.
  • All limited liability partnership is governed under the limited liability partnership act of 2008.
  • The Corporate Affairs Ministry implements the Act.

LLP vs Traditional partnership firm:

  • Under “traditional partnership firm”, every partner is liable, jointly with all the other partners and also severally for all acts of the firm done while he is a partner.
  • Under LLP structure, liability of the partner is limited to his agreed contribution. Thus, individual partners are shielded from joint liability created by another partner’s wrongful acts or misconduct.

LLP vs a Company:

  • The internal governance structure of a company is regulated by statute (i.e. Companies Act, 1956) whereas for an LLP it would be by a contractual agreement between partners.
  • The management-ownership divide inherent in a company is not there in a limited liability partnership.
  • LLP will have more flexibility as compared to a company.
  • LLP will have lesser compliance requirements as compared to a company.
economics LIMITED LIABILITY PARTNERSHIP
Print Friendly, PDF & Email

Recent Posts

  • What is Five Eyes intelligence alliance? September 29, 2023
  • Toto Shabda Sangraha September 29, 2023
  • Should generative Artificial Intelligence be regulated? September 29, 2023
  • At least 100 million in India need spectacles but have no access September 29, 2023
  • Inside the digital world of cookies September 29, 2023
  • Nipah virus outbreak: What are monoclonal antibodies? September 29, 2023
  • Private equities, Venture Capitals cash in on market rally September 29, 2023
  • Narmada floods: Congress demands SIT probe, higher compensation September 29, 2023
  • MS Swaminathan’s evergreen revolution: Productivity without ecological harm September 29, 2023
  • Prelims Power Play 29 September 2023 September 29, 2023

About

If IAS is your destination, begin your journey with Optimize IAS.

Hi There, I am Santosh I have the unique distinction of clearing all 6 UPSC CSE Prelims with huge margins.

I mastered the art of clearing UPSC CSE Prelims and in the process devised an unbeatable strategy to ace Prelims which many students struggle to do.

Free Initiatives

  • Daily Practice Sheets
  • Daily Prelims Notes
  • Mains Factly
  • Prelims Power Play
  • Sunday Essay Sadhna

My Proven Strategy

  • Interview Strategy
  • Mains Strategy
  • Motivational
  • Prelims Strategy

Contact us

moc.saiezimitpo@tcatnoc

For More Details

Work with Us

Connect With Me

Santosh Pandey Quora Santosh Sir Telegram Santosh Sir Youtube Optimize IAS Instagram

Course Portal
Search