| pvr@pvrca.com |
| +91-9990958035, +91-9968220076 |
Comparison between the Sole Proprietorship, One Person Company, Partnership Firm, Limited Liability Partnership (LLP), Private Limited Company and Public Limited Company
| Basis | Sole Proprietorship | One Person Company | Partnership Firm | Limited Liability Partnership | Private Limited Company | Public Limited Company |
| Formation | Minimal Legal Formation, Easiest Formation | Registration is Compulsory | Registration is Optional, easy Information | Registration is Compulsory | Registration is Compulsory | Registration is Compulsory |
| Minimum Number of Directors/Partner | Single Person (No Guidelines) | 1 Director who has to be a resident in India | 2 Partners | 2 Designated Partner out of which 1 Partner has to be a resident in India | 2 Directors out of which 1 Director has to be a resident in India | 3 Directors out of which 1 Director has to be a resident in India |
| Capital Contributions | No Guidelines | Minimum authorized and Paid-up Capital is INR 1 Lakhs | No limit prescribed in the Act | No limit prescribed in the Act | Minimum authorized and Paid-up Capital is INR 1 Lakhs | Minimum authorized and Paid-up Capital is INR 5 Lakhs |
| Name | No Guidelines | “One Person Company” shall be mentioned in brackets below the name of such Company | No Guidelines | Name to end with “LLP” Limited Liability Partnership | Name of a private Company to end with the words “Private Limited” | Name of a public Company to end with the words “Limited” |
| Entity | Not a separate Legal Entity | A Separate Legal Entity | Not a Separate Legal Entity | A separate Legal Entity from its Partners | A separate Legal Entity from its members and directors | A separate Legal Entity from its members and directors |
| Liability | Owner has Unlimited Liability | Member has limited Liability | Partners have unlimited liability | Partners have limited liability | Members have limited Liability | Members have limited Liability |
| Personal Liability | Owner personally liable for debts and losses of business | Member not personally liable for debts and losses of one person company | Partners personally liable for partnership’s debts and losses incurred by other partners | Partners not personally liable for debts and losses of LLP incurred by other partners | Members not personally liable for debts and losses of company | Members not personally liable for debts and losses of company |
Contact Us
P V R & Associates
4A/54, Old Rajinder Nagar, Delhi - 110060, India
Mobile : +91-9990958035, +91-9968220076
Phone : +91-11-49537200
