Procedure for Registration of a Partnership Firm 

TANMOY MUKHERJI INSTITUTE OF JURIDICAL SCIENCE

Dr. Tanmoy Mukherji

Advocate

Procedure for Registration of a Partnership Firm –

Tanmoy Mukherji

Advocate

Section 58 of the Indian Partnership Act, 1932, deals with application of Registration.

Section 58(1)-

Stating —

a) The Firm Name

b) The Place or principal place of the business of the Firm

c) The name of any other places where the Firm carries on business

d) The Date when each partner joined the Firm

e) The Names in Full and permanent address of the partners &

f) The Duration of the Firm.

Section 58(2)-

Section 58(3)-

A firm name shall not contain any of the following words, namely-

"Crown", "Emperor", "Empress", "Empire", "Imperial", "King", "Queen", "Royal", or words expressing or implying the sanction, approval or patronage of Government, except when the State Government signifies consent to the use of such words as part of the firm name by order in writing.

Although Registration is optional, and unregistered firm suffers from serious disabilities under Section 69.

Step-by-Step Procedure -

Step 1 →Selection of Firm Name

Choose a proper business name

Rules -

→Should not resemble and existing firm.

→Should not contain prohibited words like—

Crown

Emperor

Government

State

without prior approval.

Step 2 → Drafting Partnership Deed -

The Partnership Deed is the foundation of a firm.

Important Clause -

→Name of the firm.

→Nature of Business.

→Address

→Capital Contribution.

→Profit Sharing Ratio.

→Right and Duties.

→Salary / Commission of Partners.

→Admission / Retirement Rules.

→Dissolution Clause.

Step 3 → Application to Registrar-

Application is submitted to the Registrar.

Contents of Application-

Diagram-- Registration Process-

Step 4 → Submission of Documents –

Required documents are-

→PAN Card

→Aadhar / Voter Id

→Address Proof

→Passport size Photograph

→Proof of Business Address

→Affidavit

→Partnership Deed Copy

Step 5 → Payment of Fees -

Registration Fees vary state to state.

Step 6 →Verification by Registrar -

Registrar Checks —

→Accuracy of documents.

→Legality of firm name.

→Validity of deed.

If satisfied, the Registrar enters the name into the Register of Firms.

Step 7 → Certificate of Registration-

After Registration -

→The firms become a Registrar Partner-ship firm

→Registration Certificate is issued.