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Limited Liability Partnership
A LLP is a partnership in which some or all partners have limited liability. In India LLP is governed by under the LLP act of 2008.
As the name suggests, partners have limited liability in the company and the personal assets of the partners are not used for paying off the debts of the company.
One Person Company
The introduction of One Person Company concept under the Companies Act, 2013 has been a game changer and has revolutionized corporate laws in India. The major advantage of One Person Company is, Entrepreneurs whose business lies in early stages can create OPC instead of the Sole Proprietorship business.
A One Person Company and Sole Proprietorship form of business might look similar as they both involve a single person owning the business but the main difference between the two is the nature of the liabilities. A One Person Company is a separate entity distinguished from its promoters, it has its own assets & liabilities. The promoters are not personally liable to repay the debts of the company, unlike in Sole Proprietorship, where the law allows attachment and sale of promoter's own assets in case of non-fulfilment of the business's liabilities.
Private Limited Company
A private limited company is a type of business entity in "private" ownership used in many jurisdictions, in contrast to "public" ownership, with some differences from country to country. The liability of all the members of a Private Limited Company is limited to the number of shares respectively held by them. Shares of Private Limited Company cannot be publicly traded.
Types of Private Limited Company registration :
Subsidiary of foreign Company
A Nidhi Company is a type of company in the Indian non-banking finance sector, recognized under section 406 of the Companies Act, 2013. Their core business is borrowing and lending money between their members. They are also known as Permanent Fund, Benefit Funds, Mutual Benefit Funds and Mutual Benefit Company. They are regulated by Ministry of Corporate Affairs. Reserve Bank of India is empowered to issue directions to them in matters relating to their deposit acceptance activities. However, in recognition of the fact that these companies deal with their shareholder-members only. Nidhi means a company which has been incorporated with the object of developing the habit of thrift and reserve funds amongst its members and also receiving deposits and lending to its members only for their mutual benefit.
Nidhi companies existed even before the existence of companies Act 2013. The basic concept of Nidhi is the "Principle of Mutuality" These companies are more popular in South India, and 80% of Nidhi companies are located in Tamil Nadu.
The economy of India is an agricultural centric economy. Around 60% of the population depends on agricultural activities for their livelihood. But, the primary producers and farmers have had a long struggle in India. To address these problems, the Government of India set up an expert committee, led by Y.K. Alagh (an economist) to look into the matter. In the year 2002, they introduced the Producer companies concept to the Indian economy. Since then, they have helped primary producers gain access to input, credit, production technology, market etc.
With the expansion of business, it becomes essential for a group of people to join hands together and supply necessary capital and skill which can give rise to the concept of Partnership Firm/Organisation and thus is defined by the Indian Partnership Act of 1932 as "The relation between people who has engaged to show profits of a business carried on by all or any of them acting for all".
Thus any two or more people can come together and form a business & divider the profits thereof in an agreed ratio.
A sole proprietorship, also known as the sole trader, individual entrepreneurship or proprietorship, is a type of enterprise that is owned and run by one person and in which there is no legal distinction between the owner and the business entity. A sole trader does not necessarily work 'alone' - it is possible for the sole trader to employ other people.
The sole trader receives all profits (subject to taxation specific to the business) and has unlimited responsibility for all losses and debts. Every asset of the business is owned by the proprietor and all debts of the business are the proprietor's. It is a "sole" proprietorship in contrast with partnerships (which have at least two owners).
A sole proprietor may use a trade name or business name other than their or its legal name. They may have to legally trademark their business name if it differs from their legal name, the process varying depending upon country of residence.