Entity Structuring is the process by which a business selects the most suitable legal structure, such as an LLP, Private Limited Company, Public Limited Company, Branch office, Liaison Office, or Project office to optimize operations, mitigate risks, save taxes, and boost compliance.

Yes. For example, entity structures like Private Limited Company, Public Limited Company and Limited Liability Partnership can raise capital through various modes. At InCorp, our experts will suggest the most suitable legal structure after analyzing your fundraising goals.

The process involves selecting a legal structure, filing documents compliant with government regulations, creating operating agreements, and obtaining licenses, if any. Our experts will manage these necessary steps so that you can focus on business-critical functions.

Different structures offer varying benefits. For example, a sole proprietorship offers greater flexibility as the owner has complete control over all business functions. Conversely, the board of directors critically analyze multiple factors before taking a decision, which improves the profit-making potential of a corporation. Our professionals will explain differences between various entity structures so that you can make an informed decision.

Yes. For example, corporations must hold annual meetings, while such a provision is not applicable to other entity structures. Our multiple years of experience managing legal compliance requirements will ensure your business avoids penalties and remains compliant.

Documents required to establish an LLP include a PAN card/ID proof of partners, residence proof of partners, passport-size photograph, proof of registered office address, and Digital Signature Certificate (DSC) of at least one of the partners. Foreign nationals and NRIs need to submit their passports along with proof of address like driving license, bank statement, or any government-issued identity proof including the address.

An LLP can be converted into a Private Limited company according to the provisions in Section 366 of the Companies Act, 2013, and Company (Authorized to Register) Rules, 2014. While there are no formal procedures, the process involves transferring the business from the old entity to the new one. As the assets of the LLP are transferred to the converted private limited company, no capital gain tax shall be levied on such transfer.

The dissolution process for different business entities varies significantly due to distinct legal structures and regulatory requirements. LLPs and corporations should obtain approval from their internal stakeholders as well as from various government authorities (including MCA) by doing certain e-filing. Each entity’s dissolution process must adhere to its applicable laws.

Yes, FEMA prescribes reporting compliances for inbound/outbound capital investments from India.