Guide To Select Form of Startup – Private Limited, LLP, OPC, Partnership or Proprietorship

August 31, 2020
FEATURES Private Limited Company One Person Company (OPC) LLP Partnership Proprietorship
Separate legal entity ✓ ✓ ✓ ✕ ✕
Limited Liability ✓ ✓ ✓ ✕ ✕
Number of members 2-15 1 2-99 2-20 1
Number of Directors /DP 2-15 1-15 2-99 NA NA
Investor Preference ✓ ✕ ✓ ✕ ✕
Foreign Investment (FDI) ✓ ✕ ✓ ✕ ✕
Ownership Transfer-ability ✓ ✓ ✓ ✕ ✕
Perpetual Existence ✓ ✓ ✓ ✕ ✕
Tax Benefits High High Low Low High
Statutory Compliance High Low Low Low Low
Market Credibility High Moderate High Low Low
Managerial Remuneration No Limits No Limits Upto Limits Upto Limits Not Allowed