Both structures give limited liability. A private limited company is preferred by investors and banks because equity can be issued easily.
An LLP has fewer compliance requirements—audit applies only above certain limits—and no dividend distribution complications.
If you plan to raise venture capital or issue ESOPs, choose a company. For professional or family businesses, an LLP is often simpler.
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This article is for general information only and is not professional advice. Tax rules change; consult us for your specific case.