Can Limited Liability Partnership take a loan?
As per Section 66 of the LLP Act, an LLP with LLP registration in Salem is allowed to accept loans or deposits from its partners. These contributions can include both unsecured and secured loans, depending on the terms agreed upon in the LLP agreement. This provision offers flexibility for funding the business from within the partnership, helping the LLP raise capital without external borrowing. Proper documentation and compliance are essential for such transactions.