Starter
₹2,999+ GST
For partners who need a deed.
- Partnership deed drafting
- Stamp paper guidance
- PAN application for the firm
Partnership firm registration, deed drafted in 2 working days.
A deed on stamp paper, PAN for the firm and optional registration with the Registrar of Firms. Expert on WhatsApp.
Price estimator
- 1Price
- 2Details
- 3Done
Plan
Everything in Starter, plus
- Registration with the Registrar of Firms
- GST registration
- MSME (Udyam) registration
- Bank account opening assistance
Stamp duty on the deed and the Registrar of Firms fee vary by state.
- Professional fee₹7,999
- GST at 18% on our fee₹1,440
- Government feesStamp duty on the deed and the Registrar of Firms fee vary by state.Itemised at cost
Fee plus GST
Stamp duty on the deed and the Registrar of Firms fee vary by state.
Key facts
- Entity
- Partnership firm under the Indian Partnership Act 1932: no separate legal entity, partners personally liable
- Governing law and forms
- Indian Partnership Act 1932; deed on state stamp paper, Form A with the Registrar of Firms (optional), PAN in Form 49A
- Time taken
- Deed drafted in 2 working days and PAN in about a week; Registrar of Firms timing varies by state
- Our fee from
- ₹2,999 + GST
- Government fees
- Stamp duty on the deed and the Registrar of Firms fee vary by state.
- Who it is for
- Two or more people starting a small trading, family or services business with the simplest setup
- Tax
- Firm taxed at 30% plus surcharge and cess; partners' share of profit is exempt in their hands
- Recurring obligations
- ITR by 31 July (31 October if audited); GST and TDS returns where registered; supplementary deed on any change
Why founders trust BizExpress
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Is a Partnership Firm right for you?
It fits if you
You are starting a shop, trading or family business with a partner
A partnership firm is the quickest way for two or more people to trade under one name. The deed can be ready in two working days, and there are no ROC filings, no board meetings and no statutory audit.
The partners trust each other and the business is small
Every partner is personally liable for the firm's debts, so a partnership works when the people are known to each other and the liability risk is modest. Family businesses and small professional practices fit this well.
You want to use presumptive taxation
A partnership firm can declare profit under Section 44AD or 44ADA, which an LLP cannot. For a small trading or professional firm this means no books audit and a simple return.
Transparent pricing. Government fees itemised, always.
Professional fees below exclude GST. Stamp duty on the deed and the Registrar of Firms fee vary by state and are itemised for you before you pay.
Growth
₹7,999+ GST
For a registered firm ready to trade.
Everything in Starter, plus
- Registration with the Registrar of Firms
- GST registration
- MSME (Udyam) registration
- Bank account opening assistance
Why the ₹999 offers cost more
The ₹999 offerBizExpress
The deedA generic template with blanksDrafted for your profit split, capital, remuneration and exit terms
Stamp dutyWrong value or wrong state, deed not properly stampedCorrect stamp paper for your state, confirmed before you buy it
Registrar of FirmsNot included, so the firm cannot sue to enforce a contractFiled with the state Registrar in the Growth plan
Who you talk toA ticket queueA named expert on WhatsApp
What happens, step by step
Counted in working days from the day your documents are complete. The deed and PAN take about a week; registration with the Registrar of Firms depends on your state.
- 1Day 0
Documents and the terms of the partnership
Each partner sends PAN, Aadhaar and address proof on WhatsApp. On a short call we settle the firm name, capital, profit ratio, remuneration and what happens when a partner exits.
- 2Day 1 to 2
Partnership deed drafted
We draft the deed with the clauses that matter later: profit sharing, interest on capital and remuneration within Section 40(b) limits, admission and retirement of partners, and dispute resolution. You review it on WhatsApp.
- 3Day 3 to 4
Execution on stamp paper
You buy stamp paper of the value we confirm for your state, all partners sign, and two witnesses attest. Some states accept e-stamping; we tell you which applies.
- 4Day 4 to 10
PAN for the firm and bank account
We apply for the firm's PAN, and TAN if you will deduct tax. With the deed and PAN you open the current account. GST and Udyam registration follow in the Growth plan.
- 5Week 2 onward
Registration with the Registrar of Firms
We file the application with the state Registrar of Firms with the deed and the partners' details. Processing time varies widely by state, from a couple of weeks to several months. The firm can trade meanwhile.
After registration, what recurs
- 31 JulyIncome tax return of the firm (31 October if a tax audit applies), plus each partner's own return
- 15 June, 15 September, 15 December, 15 MarchAdvance tax instalments if the firm's tax exceeds ₹10,000 in the year
- Monthly or quarterlyGST returns if the firm is registered, and TDS returns if it deducts tax
- On any changeA supplementary deed and an update to the Registrar of Firms when a partner joins, leaves, or the terms change
Documents you need
Phone photos are fine. Everything is uploaded on WhatsApp; only the stamp paper needs physical signatures.
For each partner
- PAN card
- Aadhaar card
- Address proof not older than two months (bank statement, electricity bill or mobile bill)
- A passport-size photo
For the firm
- Firm name (we check it against trademark records and existing firms in your state)
- Address proof of the principal place of business: utility bill not older than two months, plus a rent agreement or NOC
- Capital each partner brings and the profit sharing ratio
- Names of two witnesses for the deed
Want this as a checklist?
We send the list to your WhatsApp so you can tick it off from your phone.
Partnership Firm vs LLP vs Proprietorship
| Feature | Partnership firm | LLP | Proprietorship |
|---|---|---|---|
| Minimum people | 2 partners | 2 partners | 1 owner |
| Liability | Unlimited, joint and several | Limited to contribution | Unlimited, personal |
| Separate legal entity | No | Yes | No |
| Registration | Deed on stamp paper; Registrar of Firms optional | MCA, FiLLiP, 10 to 15 working days | None; Udyam and GST as needed |
| Annual filings | ITR, GST if registered | Form 11, Form 8, ITR | Owner's ITR, GST if registered |
| Audit | Tax audit above Section 44AB limits | Above ₹40 lakh turnover or ₹25 lakh contribution | Tax audit above Section 44AB limits |
| Tax on profits | 30% plus surcharge | 30% plus surcharge | Owner's slab rate |
| Presumptive tax (44AD, 44ADA) | Yes | No | Yes |
| Best for | Small family and trading businesses | Services firms wanting limited liability | Freelancers and single-owner shops |
Partnership firm
- Minimum people
- 2 partners
- Liability
- Unlimited, joint and several
- Separate legal entity
- No
- Registration
- Deed on stamp paper; Registrar of Firms optional
- Annual filings
- ITR, GST if registered
- Audit
- Tax audit above Section 44AB limits
- Tax on profits
- 30% plus surcharge
- Presumptive tax (44AD, 44ADA)
- Yes
- Best for
- Small family and trading businesses
LLP
- Minimum people
- 2 partners
- Liability
- Limited to contribution
- Separate legal entity
- Yes
- Registration
- MCA, FiLLiP, 10 to 15 working days
- Annual filings
- Form 11, Form 8, ITR
- Audit
- Above ₹40 lakh turnover or ₹25 lakh contribution
- Tax on profits
- 30% plus surcharge
- Presumptive tax (44AD, 44ADA)
- No
- Best for
- Services firms wanting limited liability
Proprietorship
- Minimum people
- 1 owner
- Liability
- Unlimited, personal
- Separate legal entity
- No
- Registration
- None; Udyam and GST as needed
- Annual filings
- Owner's ITR, GST if registered
- Audit
- Tax audit above Section 44AB limits
- Tax on profits
- Owner's slab rate
- Presumptive tax (44AD, 44ADA)
- Yes
- Best for
- Freelancers and single-owner shops
- Choose a partnership firm if the business is small, the partners know each other well, and you want the cheapest setup with presumptive tax available.
- Choose an LLP if you want the same partner structure with liability limited to your contribution and a registered entity clients recognise.
- Choose a proprietorship if you are on your own and the business does not need a second owner.
Five mistakes we see every week
- A deed that is silent on remuneration and interest
Partner salary and interest on capital are deductible for the firm only if the deed authorises them, within the limits of Section 40(b). A silent deed means the firm pays 30% on that amount unnecessarily.
- Skipping registration with the Registrar of Firms
Registration is optional, but an unregistered firm cannot sue a customer or a partner to enforce a contract. If you extend credit to clients, register the firm.
- Stamp paper of the wrong value or state
Stamp duty on a partnership deed is set by each state and in some states depends on the capital. An under-stamped deed can be refused as evidence and attracts a penalty when it surfaces.
- No exit clause
Without a clause on retirement, death or expulsion, the firm may dissolve when a partner leaves. A two-line continuation clause and a valuation method avoid this.
- Treating the firm's money as personal money
The firm has its own PAN and files its own return. Mixing personal and firm expenses in one account makes the accounts unreliable and the tax return hard to defend.
Founders who registered with us
It's been 5 years since the incorporation of my private limited company and they are experts at what they do.
Knowledgeable, professional and very cooperative. We can totally concentrate on business, leaving all financial compliance to them.
Thanks Team BizExpress. It was refreshing to see an online service provider with such professionalism.
Questions founders ask before registering
How much does partnership firm registration cost?
Our professional fee starts at from ₹2,999, excluding GST, for drafting the deed and applying for the firm's PAN. Stamp duty on the deed and the Registrar of Firms fee are set by your state and itemised before you pay. The Growth plan adds registration with the Registrar, GST and Udyam.
How long does partnership firm registration take?
The deed is drafted within two working days and executed as soon as you buy the stamp paper. The firm's PAN arrives in about a week, and you can open the bank account and start trading then. Registration with the Registrar of Firms varies widely by state, from a couple of weeks to several months.
Is registration of a partnership firm compulsory?
No. A partnership exists as soon as the deed is signed. Registration with the Registrar of Firms is optional under the Partnership Act, but an unregistered firm cannot file a suit against a third party or a partner to enforce a right arising from a contract. Banks and larger clients also prefer a registered firm.
How many partners can a partnership firm have?
At least two, and at most fifty under the current rules. Partners must be adults competent to contract. A minor can be admitted to the benefits of the partnership with the consent of all partners, but cannot be a full partner. A company or an LLP can also be a partner in a firm.
How is a partnership firm taxed?
The firm pays 30% on its profit plus surcharge and cess, and the share of profit each partner receives is exempt in their hands. Remuneration and interest on capital paid to partners, if authorised by the deed, are deductible within Section 40(b) limits and taxed as the partner's income at slab rates.
Can a partnership firm use presumptive taxation?
Yes. A firm with turnover up to ₹2 crore (₹3 crore if 95% of receipts are digital) can declare 8% of turnover as profit under Section 44AD, or 6% for digital receipts. Professional firms up to ₹50 lakh (₹75 lakh if 95% digital) can declare 50% under Section 44ADA. LLPs cannot use either.
What is the liability of partners in a partnership firm?
Unlimited, joint and several. Every partner is personally liable for all debts of the firm, including those created by another partner in the ordinary course of business, and creditors can pursue personal assets. This is the single biggest difference from an LLP, where liability stops at the contribution.
What should the partnership deed contain?
The firm name and address, each partner's capital, the profit and loss ratio, remuneration and interest on capital, who can sign and borrow on behalf of the firm, how accounts are kept, and what happens on retirement, death or dispute. A deed that covers these avoids most of the arguments we see later.
Does a partnership firm need GST registration?
Only when it crosses the threshold: ₹40 lakh turnover for goods or ₹20 lakh for services (₹10 lakh in special category states), or from day one if it sells through e-commerce platforms or supplies goods across state lines. Many firms register early to claim input credit or because clients ask for a GSTIN.
Can a partnership firm be converted to an LLP or a company later?
Yes. A registered firm converts to an LLP through Form 17 with FiLLiP, and to a Private Limited Company under Section 366 of the Companies Act. Both need the consent of all partners and give the new entity a fresh PAN. Founders usually convert when liability grows or an investor arrives.
Sources and official references
Government fees, forms and due dates on this page are checked against these portals. Where a state or a year changes a figure, we say so on the call.
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