LLP firm registration for equity investment and trading is rejected. Any guidance?


#1

Hi,

I tried to register an LLP firm for equity investments and trading, but it got rejected due with rejected reason “The name and the objects are NBFC in nature which is impermissible for an LLP”. So please amend the name and the objects suitably’. Does this mean we can’t open an LLP for equity investment and trading purpose? Any reserve words we should not use in firm name?

Can anyone guide on this matter, and or provide contract of someone who can help me in LLP in firm registration for equity investment and trading purpose?

Thanks.


#2

You have to seek consultant advice.

They rejected based on your proposed NAME and PURPOSE . You have to modify the same and try.

Using the NAME you may take money from gullible investors and cheat them. What is the guarantee that you don’t do that ?


#3

Why dont u add something like proprietory trades or something like that. This cud make it clear that u r not trying to be a NBFC seeking public funds


#4

You can meet this Shah he can guide you how to start an LLP


#5

Fake new @haribabu.


#6

I serious think Govt should go one step ahead and prosecute all fake news readers including all of us.


#7

How POWER gives BULL to certain stocks

check prices of Heritage Foods and Amararaja Bat. In May 2014 and Now


#8

@haribabu Think both the stocks are owned by politicians in power now(TDP??)


#9

Yes. Heritage food is owned by CM family of AP.

Amararaja Bat owned by MP Galla Javadev, his family was in Congress till 2014.


#10

I opened a LLP for trading this january in Bangalore . First time it got rejected because of the same reason , like name was misleading.
There are set of words we should not use like “fund management” , “capital management” etc…
Its better if you go through a proper CA who have expereince in this. If you want i can refer you to the CA who did it for me ( spent 15k overall ).


#11

This should help.


#12

Hi @VelmuruganSengottai
can one person open LLP or it needs to have at least two partners ?
also, is it challenging to open demant account with any broker , lets say zerodha for such firm or its well established and easy process ?


#13

one person cannot open LLP , we need atleast 2 people …
i didnt open demat account with LLP because i opened LLP for exclusively trading in bank nifty ( we decided to open only a trading account ) …
if you know a CA who is experienced in opening LLP firm , then the process is simple …
basically we need to have a DIN , then regitser for LLP , open a current account and then sybmit all the docs to broker


#14

Can anybody here tell what is the advantage of forming a LLP vs trading as an individual ?
If there is an advantage can a sole proprietorship be a substitute for a trading with me as owner and few(5 to 10) employees trading for me.
My future plan is to open a trading place at my home office with me as the sole owner and few employees as traders, managing my own money.


#15

you can start a one person company or sole propritorship , you can get more info in net about the diffeences .
i am away for some work , cant explain now in detail


#16

@VelmuruganSengottai If I start a LLP with the objective of buying selling shares, can it be declared as capital gains tax(10/15%) or does it have to be compulsorily taxed as business income(~30%).

Intraday/options will have to be declared as business income. But will buying delivery based share buying/selling also compulsorily be business income?