Structure · LLP

LLP in India for foreign investors — where it fits.

An LLP is lighter to run than a company and is attractive to professional and service businesses. But foreign investment into an LLP is only permitted in sectors where 100% FDI is allowed on the automatic route and no performance conditions attach — which rules it out more often than people expect.

🧾 CA-reviewed · fee quoted upfront
✓FDI into an LLP is permitted only where the sector allows 100% FDI on the automatic route with no performance conditions
✓At least one designated partner must be resident in India
✓Lighter annual compliance than a private limited company — Form 8 and Form 11
✓No dividend mechanics; profit share to partners works differently from a company
✓Audit applies above prescribed turnover or contribution thresholds, not automatically as with a company
✓Conversion between an LLP and a company later is possible but not trivial — choose deliberately
Would an LLP work for your India plan?
Tell us the sector and who the partners will be. We will confirm whether foreign investment is permitted into an LLP for that activity, and what the alternative looks like.
💬 Free consult first·CA-reviewed·No payment to start

What we handle for you

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Sector eligibility first

Whether FDI may enter an LLP at all for your activity — this is the question that decides the structure.

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Formation and agreement

Incorporation, designated partner identification, and an LLP agreement that reflects the commercial deal.

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Capital and reporting

Contribution brought in through banking channels and reported to the RBI as required.

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Annual filings

Form 8 and Form 11, income tax return, and audit where the thresholds are crossed.

Who this is for

👩‍⚖️ Professional practices

Consulting, design and services where an LLP suits the profit-share model.

🌏 NRI partners

Non-residents investing alongside Indian partners.

🔄 Existing LLPs

Indian LLPs proposing to admit a foreign partner.

Transparent, quoted upfront

Every case is different, so we review yours first and give you a clear price before any work or payment — no charge for the review, no obligation.

Share your details → a CA reviews → you get a fixed quote on WhatsApp.

No hidden charges. You decide after you see the price.

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Common questions

Can a foreigner or NRI be a partner in an Indian LLP?

Yes, where the sector permits 100% FDI on the automatic route with no performance conditions. At least one designated partner must be resident in India.

Is an LLP better than a private limited company for foreign investors?

It is lighter to run, but it is available in fewer situations and is less familiar to investors and lenders. Where the sector permits it and the business is a services practice, it can be the better fit; where you expect external investment or an exit, a company usually is.

Does an Indian LLP need an audit?

Not automatically. Audit applies once turnover or partner contribution crosses the prescribed thresholds — unlike a company, which is audited every year regardless of size.

What does an Indian LLP have to file each year?

Form 11 (annual return) and Form 8 (statement of account and solvency) with the Registrar, plus an income tax return, and audit where thresholds apply.

Can an NRI open a sole proprietorship in India instead?

A proprietorship is generally not the right route for a non-resident — investment by a non-resident into a proprietary concern is restricted and usually only on a non-repatriation basis. A company or LLP is normally the appropriate structure.

More on entering India

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