Can partners of llp withdraw capital after conversion from pvt. ltd. co.

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CA Rohan Bajaj

142 Points Joined June 2009

If Company A Ltd. has converted into A LLP. Then can the partners of A LLP, withdraw their capital from A LLP or not? If not then why not and if Yes, then how much? I request the experts to please quote the relevant section and law for their opinions.

Replies (2)

Guest

If Company A Ltd. has converted into A LLP it is no more

reamain company it is become llp so all the things will be done

as per llp agreements

Whenever a partner of a LLP ceases to be a partner than unless otherwise provided in the LLP agreement, the former partner or a person entitled to his share in consequence of the death or insolvency of the former partner, shall be entitled to receive from the limited liability partnership, an amount equal to the capital contribution of the former partner actually made to the limited liability partnership.

patners of llp can withdrawn their capital or enhance their capital

that will be as per provided under the LLP Agreement and by way of amendment in the LLP Agreemen

Ajit Hegde

CA - Final

1367 Points Joined September 2009

Since at the time of conversion, shares would have been taxed as a result of transfer, there are no restriction on the withdrawal of capital by partners.