The legal consultants Handoo and Handoo have become the first Limited Liability Partnership firm of India, a new form of business structure where the partners’ liability is limited to the extent of their stake, introduced by the governemnt from April 1.
Delhi-based R K Handoo and Associates is the first LLP that has opted for the LLP form of entity. The firm has four members– R K Handoo, Yogendra Handoo, Roohi Kohli and Sushma Handoo, in which Sushma is a non-practicing partner.
The LLP Act, passed by the Parliament and given assent by the President Pratibha Patil, was notified beginning this fiscal after being approved by the Election Commission.
The new business form will specially benefit professionals like chartered accountants and company secretaries and will allow them to come together and form an LLP and provide a single platform to all people wanting to avail of professional services.
A Limited Liability Partnership is a hybrid of partnership firms and companies and is a separate legal entity with liability being limited to the extent of stake held by a partner.