How can I get complete control over an LLP business that I’m the founding partner of?
LLP stands for Limited Liability Partnership, where two or more partners enter into agreement to start business with common goal of earning profit. Commonly, in order to claim the benefits offered by the LLP as body corporate, many of the people start the business by inviting their Family members as another Partner in LLP.
In such cases, the founding partner wishes to get control over the whole LLP, as in your case. Here, the control of operations or decision making can be taken over by way of entering related clauses in the LLP Agreement. As the LLP is already incorporated assuming the LLP agreement being entered into, you may alter the clauses of existing agreement by way of entering into Supplement Agreement with consent of another Partner.
However, the provision with regards to responsibility of the designated partner shall be applicable and to be complied with. However, in case where consent cannot be accorded from another partner, the best option is to wind up the LLP and reform One Person Company (OPC) in order to enjoy the benefits of Body Corporate. Sole Member of the OPC is the owner and also has full control over the decision making, management and operations of company. Unlike other Private Companies, OPC enjoy several flexibility and exemption for the provision levied.
Any person of 18 years and above can become a Designated Partner of a Limited Liability Partnership. An individual of any nationality can become a Designated Partner in a Limited Liability Partnership. However, the minimum one of the Designated Partner of the Limited Liability Partnership should be an Indian resident.
Being an artificial judicial entity, LLP can buy property in it’s name. The LLP is the owner of the property and the partner cannot claim this property.