What exactly is LLP, its advantages & disadvantages and process of registration?

Limited Liability Partnership is a form of legal entity in which all the partners or some partners have a set of limited liabilities and their responsibilities in the business are limited.

Key Points to Remember:

It is generally run by the partnership and cooperation between the partners for which they need to be very reliable and thus it involves a lot of trust risk.

      Each partner will have their own responsibility and liability and no other partner shall be responsible for the other partner’s liability or mistakes.

      Unlike traditional partnerships where all the partners have equal and unlimited liabilities here everyone has their own limited liability.

      All the partners are the stakeholders; however, they are given direct access to control and monitor the business directly which is not given to stakeholders in the corporation.

      That is why the board of Directors is needed for a corporate company and for Limited Liability Partnership there are no such requirements.

      The taxation policy for an LLP is different from companies and is much simpler and small in comparison to them.

In many countries like India in case of a Limited partnership, there exist at least one partner who has the unlimited liabilities and the other partners may be allowed to the limited liability investor and in return, their role will be passive. Thus in such countries, it’s better to choose an LLP as a form of business in comparison to a limited partnership so that all the partners enjoy an active role in the business. All the LLPs in India are registered under the Limited Liability Partnership Act, 2008.

Benefits of a Limited Liability Partnership:

v  The internal structure of an LLP is less complex and easy to organize in comparison to a company.

v  You can have any number of partners and there is no legal maximum number of partners required for an LLP however, obviously the minimum required number is 2.

v  The fundraising and utilization is completely dependent on the partner’s will and say. However they have to follow the rules of Companies Act 2013.

v  You can save your amount of Dividend Distribution Tax, as you do not have to pay it for LLP while in case of the company it’s compulsory.

v  It’s very useful for professional like the Doctors, Advocates, Chartered Accountant and Engineers to register themselves as LLP.

v  There is no such minimum amount of capital that is required to start an LLP, unlike a company which requires certain fixed minimum funds to be invested.

v  There are no compulsory audits required, unlike companies where regular audits are mandatory.

Disadvantages of a Limited Liability Partnership

v  The LLP cannot raise money or funds from the public.

v  The act of one partner without the consent of another partner may bind the LLP.

How to Register for an LLP?

v  The First step is to get the digital signatures of all the partners.

v  All the partners need to apply for DIN i.e. Director Identification Number which is mandatory to become a partner.

v  Apply for the approval of the name of the LLP.

v  Get the Certificate of Incorporation from Indian Registrar of Companies as it is a proof of registration.

v  Then apply for the PAN (Permanent Account Number) of LLP.

v  File all the related documents of the LLP and also apply for the current bank account which is a mandate.

Source url https://swaritadvisorsindia.wordpress.com/2018/09/19/what-exactly-is-llp-its-advantages-disadvantages-and-process-of-registration/

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How copyright registration is beneficial to us?

Copyright is the lawful right of a man which is applied to his creation such as musical, literary, artistic work, dramatic, cinematography, and much more. Copyright is a heap of rights which incorporate the privilege of re-generation, screening, and correspondence out in the public, adjustment, interpretation or any other use in any other type of the work. Copyright can be considered as a process to safeguard the creativity of the individuals. The presence of this privilege signifies the importance given to the individual, in the public society and in the eyes of law as well, where the hard work, original thinking, and idea of creativity is considered as the major contribution for our progress in each and every field. This privilege gives an umbrella security to the sharing of one individual's imagination with others so everybody can commonly profit themselves and at the same time encourages the soul of advancement. The provisions identified with the Copyright are represented in India by the Copyright Act, 1957 which has been amended six times to include the changing elements of the general public.

For Registering a Copyright in India, the candidate needs to accompany the following steps:-

An application for the copyright registration must be submitted to the Copyright Office headed by the Registrar of Copyrights either face to face or through the post. An Application can also be made through the e-filing, it simply requires the documents as per the category of the work for which you are claiming copyright i.e. artistic work, literary, music, sound, recording or cinematograph work, software, etc. You may find the checklist for above mentioned work at the website of the Copyright Office, Government of India. In order to simplify the process, the online e-filing process has been started from 14^th Feb2014.

·         An Application according to the form 4 of the First Schedule of the Copyright Rules, 2013 incorporates the Expression of particulars and Statement of Further Particulars alongside an oath i.e. affidavit ensuring the responsibility for the ownership of the work.

·         The Application must be accompanied with the fees as endorsed in the Second Schedule.

·         The Application should be documented either by the candidate or the Advocate who has been given the Power of Attorney to this regard and his acknowledgment to the same must be thus enclosed in the form as well.

After the successful filing of the application, you must be provided with a Dairy number which will be mandatory for about 30 day period for call for objections. In case if the objections are raised then at that point a notice is issued to both the parties to give a chance of being heard by the Registrar who will resolve the issue. Once the issue is sorted there will be a scrutiny by the examiner. If he finds any issues then the Registrar will again hear the issue. And when everything gets sorted then the Copyright registration is approved by the Deputy Registrar and Extracts from the Register are sent to the applicant.

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What is the need of rental agreement? And how to use it?

A lot of you want to either make use of some property or just generate an earning from your owned property. The best thing to do is to give your property on rent. But before you decide to do that, make sure you enter a residential rental agreement with your tenant, this will provide the parties, you and your tenant with an agreement on understanding that is authenticated with the signatures of both the parties on the document. This will prevent any unnecessary disputes between the tenant and the owner and legally will be able to follow the agreed terms and conditions together.

So, a rental agreement is basically a legal document that abides by the law. The parties can use the rental agreement as evidence in the court of law in the case, there is any disagreement or ill behaviour that wasn’t agreed within the residential rental agreement terms and conditions.

When can you use a rental agreement?

Here is a Residential rental agreement format that you can use in the situations that are as follows:-

1)     In case, you want to let out or give your house or an apartment on rent or a commercial place for business.

2)     You may use the format to have an agreement written with your landlord or your tenant.

3)     You may use the rental agreement to register something with your local authorities.

What Must a Regular Rental Agreement Cover?

1)     A regular residential Rental Agreement must cover the amount of rent as well as the submitted deposit.

2)     It must have terms regarding the electricity, water and other utility maintenance.

3)     The terms must cover any damages, any repairs or possible alterations.

4)     What responsibility the tenant will take.

5)     What responsibility the landlord will take.

6)     Termination of the lease should be mentioned in the residential rental agreement.

7)     Any possible extension of the same lease should also be mentioned in the rental agreement.

8)     And other miscellaneous clauses that you might want to include apart from the above mentioned.

Now we will see how we can make this written document legal and enforceable

Once you are done with the write up of your agreed rental agreement, just check everything up through the checklist below:-

1)     The document must be printed on a stamp paper of the legally recommended value.

2)     Do ensure that both the involved parties’i.e. the tenant and the landlord have signed the right bottom of the legal document on a stamp paper.

3)     There must also be a witness to this residential rental agreement document, who also shall sign the document along with his own residential address.

4)     To the rental agreement, attach any fixtures or schedules of the respective property.

What could happen in case you rent out a property without any rental agreement?

A rental agreement is a legal validation of your understanding with the opposite party involved. Not having a residential rental agreement will lead to possible insufficiencies legally in case of any dispute arise?

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Protect Your Uniqueness with Trademark - Get All Info You Want For It

What do you understand by Trademark?

A Trademark is generally a recognizable design, signature or a statement of expression which helps us to identify a particular product or services associated with it. This helps us to differentiate one brand of product from the other. Thus in the common language, the trademark is also known as the brand or logo of the organization that manufactures that product.

The trademarks are the most important aspect of a business and they are amongst the most valuable assets of the business. The trademark needs to be registered in an official manner and the entire procedure needs to be followed. The Trademark Registration can be done by an individual, an organization or any other legal entities. They are often used as a symbol to remind us of the entity that they are associated to. Also, all the trademarks have to be registered under the Trademarks Act.

Go Through the Advantages of Trademark Registration

v  They give the owner the exclusive rights to the use of the mark, subjected to the goods or services for which they have been registered under the Trademarks Acts. Anyone else using it can be severely penalized at legal grounds by the proprietor of the trademark.

v  It is a way of providing your work a security to not be used or imitated.

v  It is the most valued asset of the business as it is their sole legal intangible property.

v  Trademark Registrations helps the other business of same trade not to use your trademark or similar or identical to yours to give you and assure you the uniqueness of your trademark

v  A registered trade can be transferred from one person to the other irrespective of the business transfer.

Have a Look at the Procedural Steps for Trademark Registration

The Trademark Registration procedure in India is generally a five-step procedure which includes the following steps:

v  Filing: The first and the primary step is to file the application for the registration, which can be filed in a different class, the single class or multi-class.

v  Examination: The second step is to examine the application filed. This is done in the time period of 3 months to 1 year from the date of Registry of Application depending on the backlog of application. The application is examined by the Registrar in accordance with the terms and laws under the Trademarks Act. The application may be accepted or refused as per the Act which can be done on Absolute Grounds or on Relative Grounds as per the provisions of the Act.

v  Advertisement: After the stage of Examination and on approval of Registrar for the same, the application is now made published in the journal which has all the trademark-related information and is called in general the Trademark Journal. This is done in order to inform the public that if they have any opposition for the trademark they can file an opposition in order to stop the application for the Trademark.

v  Opposition: In this, the person who is having an objection can file a legal objection for the concerned trademark and if the opposition holds good the application for registration is refused.

v  Registration: If the application does not receive any opposition then it is assumed to be in favour of the applicant and the concerned application is registered and the trademark is now accepted to be a registered one and a certificate of Registration is sent for the same.

v  Renewal: All the registered trademarks are to be renewed over a period of 10 years from the date of Application of Registration and Certificate of Registration.

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Importance and Process Of NBFC Registration In India

In this article, we are going to discuss the online process of an NBFC or the non-banking financial company and the process of the NBFC Registration. Let us start with what it is first.

WHAT IS A NON-BANKING FINANCIAL COMPANY (NBFC)?

Non-banking financial company or as its short abbreviation is NBFC is a kind of registered company that gets registered under the company’s act. These NBFCs get engaged in businesses like lending loans and other advances. It also gets involved with the acquisitions of banking like activities such as shares, stocks, debentures, bonds and securities. All of which are issued by the government or the local authorities.

The principal business of receiving deposits is followed by a non-banking financial company under a scheme or a certain arrangement in a one lump sum amount or in instalments by the way of contributing or perhaps in another certain manner. This also falls under the non-banking financial company activity (a residuary non-banking financial company).

WHAT IS THE DIFFERENCE BETWEEN BANKS & NBFCS?

Non-banking financial companies lend money and make certain investments and this is why their activities are recognized to be similar to that of a bank’s activities. However, there are still some differences that are put below in points:-

• NBFC cannot accept demand deposits,
• Unlike in the case of banks, Deposit Insurance and Credit Guarantee Corporation is not available to depositors of NBFCs.
• NBFCs doesn’t form a part of the payment and settlement system and cannot issue cheques drawn on itself,

WHAT ARE THE REQUIREMENTS FOR REGISTRATION WITH RBI?

Non-banking financial company that has been incorporated under the company’s act of and wishes to commence a business of the non-banking financial company as a financial institution then they must get NBFC Registration.

The NBFC Registration has to be done under section 45 I (a) of the reserve bank of India act of 1934 and it must comply with the following: –

• A company must get registered under Companies Act, 2013.
• And it should have a minimum net owned fund of Rs 200 lakhs.

WHAT IS THE PROCEDURE FOR APPLICATION TO THE RESERVE BANK OF INDIA FOR NBFC REGISTRATION?

• The company that is applying for NBFC Registration is required to apply file for an application online and then submit a physical copy of that application (print out) to the regional office of the reserve bank of India. The filing for the NBFC Registration application has to be done through the official website of RBI, which is cosmos.rbi.org.in
• At this stage, there won’t be any need for logging in to the cosmos application and this is why there will be no requirement for user id. Your company can simply click on the company registration on the main log-in page and you will be redirected to a window that will show an excel application form that is available for being downloaded. The company may download this form and fill in the information requested.
• The company should put in the correct name of the respective regional office in the field C 8 of the Annex i.e. identification of particulars into the online excel NBFC Registration application form.
• Now after following through the above steps, the applicant company shall then receive a reference number for the COR application that’s been filled online. After which the applicant can submit the copy of this online form (this time indicating the online Company application reference number. This along with the requested list of required documents) has to be then submitted to the regional office too.
• Now the company can further easily check for their NBFC Registration application status by filling in the given acknowledgement number until they finally receive their NBFC Registration certificate.

For more details, you may anytime contact Swarit Advisors as we are 247 hr available to serve our customers in any online legal processes of registrations.

Source link: https://swaritadvisorsindia.wordpress.com/2018/09/10/importance-and-process-of-nbfc-registration-in-india/

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Follow The Online MSME Registration Procedure In India

In our blog, we will discuss the basic details of MSME Registration in India. Here we will provide the very basic information regarding MSME Registration, why to get an MSME Registration? and some basics on the online procedure of MSME Registration, where most of the people need experts help and guidance.

What is an MSME & What is the need of MSME Registration?

MSME is micro small medium enterprises. It’s the similar, rather falls under same category as SSI which is small scale industry. Both of these MSME and SSI Registration benefits are given under the Udyog Aadhaar. Both being the foundations of the economy in India almost like a backbone. The Indian government supports and promotes these businesses through many different schemes and rights over benefits. It’s their way to encourage more such Businesses.  These benefits, for example, are like power rates of interests over loans and other rules favouring the business owners with regard to the settlement of disputesin a limited time period etc. But these benefits are limited to those who have done MSME Registration only. And this is why despite the fact that if you have a business, MSME Registration is not compulsory but one must get an MSME Registration just to avail for the government benefits.

What Are The Laws Related to The MSME Registration?

MSME Registration application is prepared and applied under the MSMED act. These MSMEs could be in both, service sector and manufacturing sector. The MSME Registration has a classification of categories depending on the type of operations the business does and the amount of annual turnover they make.

Following is how the three categories can be divided: –

Types of MSME Registration based on their size, Investment, and turnovers.

• Micro Enterprises- The micro enterprise Businesses under the MSME Registration is the smallest in size and the criteria for falling under this category is as followed:-
• The Investment made in the sector of manufacture must not be more than the amount of Rs. 25 lakhs
• And in case your business is of the service sector type, then the investments made should be less than Rs 10 lakhs.
• Small Enterprises-  This is the 2^nd and the middle of the three sizes of categories, the small-sized enterprise. To get an MSME Registration under small enterprise category is as follows:-
• In the sector of manufacture, the Investment made must not exceed the amount of Rs 5 crores. But it must be more than the amount invested in micro-sized industries which is Rs. 25 lakhs.
• Now similarly, looking at the service sector here, the amount of investment must be more than the amount of Rs. 10 lakhs but must not exceed the amount of Rs.2 crores.
• Medium Enterprises- This category has the biggest sized enterprise among the MSMEs. And the criteria for this is as followed:-
• The category that deals with the manufacturing sector has to be an investment which is more than the previous category which is small-sized enterprise. So the criteria is that the investment amount must be above Rs. 5 crores and upto should be Rs 10 crores.
• And similarly like previously mentioned two categories, the service sector must have an investment of Rs. 2 crores that doesn’t exceed the amount of Rs 5 crores.

What should you be prepared with for MSME registration application?

In order to get the MSME Registration done in India, you must have the following documents prepared with you to follow a hassle-free procedure online.

• Government Registration fees
• The MSME Registration application form.
• Prescribed list of documents for submission at the registrar office.

Have a Look at the Procedural Steps for MSME/SSI Registration

• Prepare and complete the form of MSME Registration or SSI Registration.
• Next, get all the prescribed list of documents.
• Once you have the documents for MSME Registration application file for the MSME Registration to the registrar.
• Now that you have submitted your MSME Registration application, it will be verified by the authorities and when they are satisfied with your submission you will be granted your approval.
• You shall receive your MSME Registration certificate and you are now a registered MSME business owner with rightful access to the government benefits.

We at Swarit Advisors are the best leading online legal service providers who are constantly available to support you in the best possible ways. All you can do is contact our specialists by discussing your problems and doubts so that we can guide you in the right direction with an accurate procedure to follow. Dial our phone number anytime in 24/7 hr or drop us an email when you need us.

Source link: https://swaritadvisorsindia.wordpress.com/2018/09/07/follow-the-online-msme-registration-procedure-in-india/

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Know The Importance Of The Trademark Registration

We all agree that we need something to represent our business or its activity and services, something distinctive from the already existing business or having the similar activities. In today’s market our brand needs to stand out, it needs to be unique, however we don’t want it to be copied or misused or replicated by anyone. We need a security for our logo or our symbol that we are supposed to display publicly.

So what do you think is the way to keep our brand shining in the eyes of the masses that it influences without anyone causing any infringements? We can obtain it by registering for trademark, and yes getting a trademark registration will provide you with the protection against infringements as well as it will give you the legal rights to sue those who dare to steal your intellectual property. In fact once you have your trademark registration done you can display and use it out in the open world with the security in your mind that it’s legally protected from any theft or misuse and hence, it’s important to get a trademark registration.

A trademark is such an asset to have which is intangible, it provides protection to the investments that you have made in your respective company. A trademark may be a name of a brand, any logo, and a symbol with some design or a tag line. In India the trademarks are functionally governed by the officer that also handles the patents, designs and trademark, these all are intellectual properties with slightly variable difference its description is given under the trademarks act of 1999. There has been some recent advancements and changes in its rules and regulations and also its classes, all here in the name of improving the Indian intellectual property regime. There once used to be 74 trademark application forms all in action that has now been conveniently reduced to just 4. The fees though have definitely hiked and is between four thousand rupees and ten thousand rupees however in order to courage people to file their trademark registration application online the fees has been kept as nine thousand rupees only. Also, for those who are just starting up their business and have rather small business, the fees is as low as four thousand five hundred rupees.

In order to make the trademark registration process rather time efficient and a bit smoother, giving registered official email address has been made mandatory in order to allow frequent and better communication easily along with the inclusion of video conferencing if necessary. The number of adjournments also has been now reduced to just two, all of these new goodies were introduced under the trademark registration rules and regulations in the year 2017 and these rules basically has replaced the rules from year 2002 update. Let’s look at a summary of some of the advantages of the trademark registration. A trademark shall remain registered and legally protected by the law under the trademark act for ten years, after which it must be re-registered or its registration must get renewed.

What AreThe advantages of the Trademark Registration? 

• There will always be a legal protection first of all with the exclusive right to the owner to be able to sue anyone in the court of law against infringement by anyone.
• It becomes an exclusive entity giving the owner the ability and right to commercially use it, franchise it or transfer its rights to someone else.
• It is an intangible asset and as mentioned above about commercial use and franchising it, as it can generate income by those means.
• You may get global trademark registration on the basis of your current trademark registration in India.

So now don’t forget to get a trademark registration as it is very important for protection of your logo and has so many other advantages accompanying it. You may anytime get in touch with the Swarit Advisors experts to get more insight details about the online legal processes. We are 24/7 hr available to offer reliable services to our customers whenever you need. We are the renowned leading consulting service provider firm where our professionals give step-by-step solutions at your end in shortest possible time period.

Original Source: https://swaritadvisorsindia.wordpress.com/2018/09/05/know-the-importance-of-the-trademark-registration/

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