The LLP Act contains enabling provisions pursuant to which a firm (set up under Indian Partnership Act, 1932) and private company or unlisted public company (incorporated under Companies Act) would be able to convert themselves into LLPs. Provisions of clause 58 and Schedule II to Schedule IV to the Act provide procedure in this regard.
Upon approval of eFORM-18 itself, the status of the company will be changed to 'Converted to LLP'.
File Form 3 within thirty days of incorporation of LLP attaching the LLP agreement mentioning therein the terms and conditions of Limited Liability Partnership among the partners.
After receiving incorporation certificate of LLP it has to be filed within 15 days of the date of conversion.
The following are some of the implications due to the conversion of a company into a LLP:
Company has to intimate all the authorities concerned about the conversion and make necessary changes in all the registrations and licenses.