Choosing Between LLP and Pvt Ltd? Here’s a Quick Comparison
Both Limited Liability Partnership (LLP) and Private Limited Companies offer limited liability, but they cater to different types of business needs.
| Feature | LLP | Private Limited Company |
|---|---|---|
| Legal Status | Separate legal entity | Separate legal entity |
| Annual Filing | Less compliance burden | Higher compliance |
| Fundraising | Not preferred by investors | Preferred by VCs/Investors |
| Ownership Transfer | Restricted | Easy transfer of shares |
| Taxation | Taxed as partnership firm | Corporate tax rates apply |
Which should you choose?
- LLP: Best for service firms and small businesses
- Pvt Ltd: Best for startups and growth-oriented companies
Still unsure? Get in touch with us for a free consultation.