New RBI Grade B 2025 Notification will come Soon! Enroll Here

    Question

    Who can become a partner in a Limited Liability

    Partnership?
    A Individuals resident in and outside India Correct Answer Incorrect Answer
    B Company incorporated in and outside India Correct Answer Incorrect Answer
    C Only (a) Correct Answer Incorrect Answer
    D Both (a) and (b) Correct Answer Incorrect Answer

    Solution

    When LLP is incorporated the persons who subscribe their names to the incorporation document are considered as its first partners and any person may become partner in the LLP as per the LLP Agreement. Further, for the formation of LLP there must be at least two persons either natural or artificial and there is no restriction on the maximum number of partners. However, in case any body corporate is a partner then in that case it is required to nominate any person (natural) as its nominee for the purpose of LLP.

    Practice Next