Compare Business Structures in India – Pvt Ltd vs LLP vs OPC vs Sole Proprietorship | TargoLegal

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Business structure comparison

Compare business structures

See Private Limited Company, LLP, OPC, Partnership and Sole Proprietorship side by side — or answer three quick questions for a guided recommendation — before you file anything with the MCA.

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What to compare
Private Limited Know more →
Registration MCA · Companies Act, 2013 MCA · LLP Act, 2008
Minimum owners 2 people 2 partners
Personal risk Limited to share capital Limited to contribution
Foreign ownership Allowed Allowed
Tax on profits ~25% + cess/surcharge (as applicable) ~30% + cess/surcharge (as applicable)
Annual filings ROC annual return + accounts + ITR Form 8, Form 11 + ITR
Statutory audit Mandatory every year If contribution > ₹25L or turnover > ₹40L
Funding readiness Strong — equity / investors Moderate — partnership style
Can convert later? Yes — to Public Co. or LLP Yes — conversion paths available
Compulsory Pvt Ltd? No No
Business name ROC name approval required ROC name approval required

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Private Limited Company

Best fit when you want limited liability and room to raise equity capital.

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