Partnership Firm to Private Limited
Partnership Firm to Private Limited Company
When a partnership firm reaches a stage where it needs stronger credibility, clearer ownership and better access to funding, converting into a Private Limited Company becomes the natural progression. It offers limited liability, structured governance and a corporate identity that banks, investors and large clients trust. The conversion involves partner approvals, valuation, transfer of assets and MCA filings to ensure a smooth and compliant transition.
What We Assist With
• Eligibility check and guidance on the right conversion route
• Drafting partner resolutions and takeover agreements
• Filing incorporation forms (SPICe+) and supporting documents
• Preparing MOA, AOA and shareholding structure
• Transferring assets, liabilities, licenses and tax registrations
• Setting up statutory registers and corporate compliance framework
• Post-conversion support for bank account updates and ROC filings
Why Firms Convert to Private Limited
• Limited liability for partners
• Stronger credibility with lenders, vendors and customers
• Clear shareholding for future investment or expansion
• Ideal for growth-stage businesses and formalization
• Better governance and long-term scalability
Frequently Asked Questions
Yes, as long as all partners consent and are willing to become shareholders in the new company.
Yes. A new Private Limited Company is incorporated, and the existing partnership firm transfers its business to the company.
Partners must become shareholders. They may become directors if the structure requires it, but it’s not compulsory.
Mainly SPICe+ forms (INC-32, INC-33, INC-34), along with declarations, NOCs, partnership deed and financial statements.
The firm ceases operations after transferring assets, liabilities and contracts to the company through a takeover agreement.