Limited Liability Partnership is a great combination of partnership and limited liability company. A minimum of 2 partners is required to form an LLP. The liability of each partner is limited to his Share. Limited liability means that if the partnership fails, creditors cannot go after a partner’s personal assets or income. Limited Liability Partnership (LLP) was introduced in India by way of the Limited Liability Partnership Act, 2008.
The LLP Act has a mandatory requirement that one of the partners in the LLP must be an Indian.
No requirement of compulsory audit: All the companies, whether private or public, irrespective of their share capital, are required to get their accounts audited. But in the case of LLP, there is no such mandatory requirement. A limited liability partnership is required to get the audit done only if: