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Filingwala

Compliance & Governance

Company Conversion

Business entities sometimes need or prefer to convert into a different form — to protect a family business, reduce legal compliance, raise public funds, or gain better recognition. Not every entity can convert into any desired form; here are the combinations that are possible.

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Possible Conversion Combinations

  • • Private Limited Company to Public Limited Company
  • • Private Limited Company to Limited Liability Partnership
  • • Private Limited Company to One Person Company
  • • Public Limited Company to Private Limited Company
  • • Unlisted Public Limited Company to Limited Liability Partnership
  • • One Person Company to Private Limited Company
  • • One Person Company to Public Limited Company
  • • Limited Liability Partnership to Private Limited Company
  • • Limited Liability Partnership to Public Limited Company
  • • Limited Liability Partnership to One Person Company
  • • Partnership Firm to Private Limited Company
  • • Partnership Firm to Public Limited Company
  • • Partnership Firm to Limited Liability Partnership

Major Conversion Routes, Explained

Private Limited Company to Public Limited Company

A Private Limited Company can voluntarily convert into a Public Limited Company. If it defaults on complying with basic conditions of its definition, it can also automatically be deemed a Public Limited Company, losing its private privileges and exemptions.

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Public Limited Company to Private Limited Company

Private Limited Companies enjoy relaxations and exemptions not available to Public Limited Companies — this conversion is chiefly pursued to access those benefits from the Ministry of Corporate Affairs.

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Private Limited Company to One Person Company

Ease of management and lighter compliance are the main draws of a One Person Company, often motivating this conversion.

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One Person Company to Private Limited Company

This conversion is voluntary — after the Companies (Amendment) Act, 2021, an OPC is no longer obligated to convert into a Private Limited Company.

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Partnership Firm to Limited Liability Partnership

LLPs offer more flexibility and unlimited partners, and — being a hybrid of partnership and private company — limit partners' personal liability, making them well suited to small and medium businesses.

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Limited Liability Partnership to Private Limited Company

This conversion opens prospects for further growth. Once a No Objection Certificate is obtained from the ROC where the LLP is registered, incorporation of the Private Limited Company can proceed.

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Private Limited Company to Limited Liability Partnership

Possible if the company has no security interest in its assets at the time of application, and if the LLP's partners will be the company's shareholders.

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Manage Your Company Conversion

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