Features of Limited Liability Company
- It has a separate legal entity
- Partners have limited liability
- Can sue or be sued in its own name
- Can own property
- At least two partners, no maximum limit
- Partners can be individuals or body corporate (company or other LLP)
Advantages of Limited Liability Company
- It is a body corporate and has legal personality separate from its partners
- It has perpetual succession. Any change in the partners of an LLP does not affect its existence, rights or liabilities
- Compliance requirements are simpler as compared to private limited company
- No annual returns filing required of LLPs, except for income tax
- Partners not personally liable for debts and losses of LLP incurred by other partners
Disadvantages of Limited Liability Company
- Profits taxed at partners’ personal income tax rates, therefore, not eligible for tax incentives or exemptions
- The partners of LLPs own the assets of the business personally, and therefore personally liable for debts and losses resulting from their own careless actions
Summary of Setup Requirements for an LLP
- Minimum 2 Partners
- Minimum one manager who must be a Singapore resident
- A Singapore registered office address
Upon approval of the application of your LLP, Rikvin can also assist you in the drafting of a Partnership Agreement that outlines the rights and responsibilities of the LPP and its partners.
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Approval and Renewal Information
Rikvin can help you register an LLP with ACRA within one hour provided all required documents are in place. Once approved, ACRA sends out a confirmation of registration via email. The registration is valid for one year and subject to annual renewal.
More from us: Download our guide on Singapore Limited Liability Partnership »
If you are a Singapore resident and you want to set up an LLP, you will need to do the following:
- Engage Rikvin to register your LLP.
- Appoint a manager who must be a Singapore resident.
Ready to start a Singapore LLP business?
As an established company registration service provider in Singapore, Rikvin has specialists who can advise you on your incorporation needs and answer any queries that you may have.