Partnership Firm Registration
Last updated: August 2026 · Reviewed by the Ravel Corporate Advisors team
The simplest way for two or more people to run a business together. We draft a clear partnership deed and register your firm with the Registrar of Firms, along with the firm’s PAN and other registrations.
Key takeaways
- Minimum two partners; no minimum capital.
- Registration is optional but strongly recommended for legal protection.
- A well-drafted deed prevents most partnership disputes.
- Partners have unlimited liability — consider an LLP for protection.
What is a partnership firm?
A partnership firm is governed by the Indian Partnership Act, 1932, and is formed when two or more people agree to share the profits of a business. It is quick and inexpensive to set up. While registration with the Registrar of Firms is optional, it is strongly advised — an unregistered firm cannot enforce its rights in court in several situations.
The partnership deed
The deed is the heart of a partnership. It records each partner’s capital, profit-sharing ratio, roles, and how admissions, retirements and disputes are handled. A carefully drafted deed prevents most future conflicts, which is where we focus our attention.
Documents required
- PAN and address proof of all partners.
- Passport-size photographs of the partners.
- Business address proof — utility bill / rent agreement + NOC.
- Proposed firm name and details of the business activity.
- The partnership deed executed on stamp paper of the prescribed value.
Step-by-step process
- Consultation on structure, roles and profit sharing.
- Deed drafting — a clear, dispute-proof agreement.
- Execution on stamp paper and notarisation.
- Registration with the Registrar of Firms (optional but recommended).
- PAN & other registrations for the firm (GST, etc.).
Want protection for your personal assets? Consider an LLP instead, or compare with company registration.