Convert Business to LLC

There are different  methods under which you can register your company. Amongst of which private company, public company, sole proprietorship, limited liability company LLC , one person company, section 25 company are well famous in the corporate sector. Different companies have different structure according to  whichthey can decide there’s form of corporate. Similarly; different forms of corporate usually constitutes various rules and procedures for obtaining registration. Besides these; there is also a provision under which you can easily transfer one form of corporate to another; means if you have registered your company under sole proprietorship and need to convert into LLC then there is a provision in following which you can easily perform your task of converting a business into a limited liability company.

There are different reasons for Converting a Business to LLC

•    Taxation benefits,
•    Funds and Capital Issue,
•    Partnership Agreement Matter,
•    Management and Finance Issue
Or many more..
That can make able to convert his/ her form of company into another form. Here, we bring you steps/procedure to change a business to a LLC where you can reap the benefits of distinct legal entity that's usually absent in prior one.

Steps / Procedure for Converting a Business to Limited Liability Company

1.    Get LLC form and fill an application for registration of an existing business. It is same as when you register a new business.
2.    New LLC requires distinct unique identification number where directors of an existing business are required to apply for a new federal tax identification number that is popularly known by an EIN.
3.    Open a new bank account with new EIN number for carrying proposed Limited Liability Company transactions and close the prior bank accounts of existing business.
4.    Transfer all the assets, property, equipment, vehicle, real estate or other machinery to the new LLC that is distinct legal entity where your personal belonging will not get involved during the liquidation process. It is one of the unique characteristics that generally absent in other forms of corporate.
5.    Alter all the insurance policies and other legal documents and certificates from existing business to new Limited Liability Company. So, that in case of any emergency you can reap out of it.
6.    Draft a new agreement under new proposed LLC, be assured to alert your potential customers, suppliers other corporate associates, partners and clients in order to maintain your reputation and goodwill in the market.

Hence, if you are looking for conversion of any of the form of corporate from one type to another then simply mail us at info@caindelhiindia.comor call at 011-2334333.