A classic dilemma which an entrepreneur faces today is whether to choose between a Pvt. Ltd. Company and an LLP. In addition to Partnerships and Proprietorships, these two have become popular options for people starting businesses. Since we get asked this question all the time, and have heard quite a few stories and helped entrepreneurs choose, we thought we would clear the air a little bit with a few case studies to help you choose between these options. Please note that none of these are real client case studies and no confidential information has been discussed.
Case study 1: We are four friends who have an idea for a social networking platform which enables bloggers to showcase their blogs to like-minded folk. How should we start?
Good question. The best option here would probably be a simple Partnership, because a Partnership comes without the regulatory shackles which a Company or LLP bring with them, and more importantly, is cheap to form. A strong revenue earning potential in this site will be realized only when it gains serious traction. And that may take a long time.
To read the full, original article click on this link: LLP vs. Private Limited: How to Choose Company Incorporation
