Addiion and deletion of partners in partnership firm
Sushil Pal
(Querist) 01 August 2012
This query is : Resolved
In a registered partnership firm, there are two existing partners. They want to sell that firm to group of five other persons, as they no longer want to continue this business. Now, is it possible that both the existing partners go out of the firm and the new five partners come in into the firm on the same day?
Whether this firm will stand valid as the NAME and the MAIN OBJECT of the firm will not change?
V R SHROFF
(Expert) 01 August 2012
First admit new 5 as Partners, and then let old two resign ,collecting their shares.
Register the changes accordingly.
C. P. CHUGH
(Expert) 02 August 2012
Well said by Mr Shroff, New Partners are first required to be admitted into the partnership. There after the old partners may opt to withdraw from the partnership for which another instrument is required to be executed and registered with appropriate authorities.
On reconstituion the firm is not dissolved and continue to be assesses as such with the retiontion of same PAN and other registrations.
prabhakar singh
(Expert) 02 August 2012
Well and rightly explained by preceding experts.As it is NOT possible that both the existing partners go out of the firm and the new five partners come in into the firm on the same day because the moment the first two
or any of the two go out of the firm,the firms shall be ipso facto dissolved,hence first induct the 5 new then retire 2 oldies,paying the share by final accounting and keep all the facts intimated to the Firms registrar.
Raj Kumar Makkad
(Expert) 04 August 2012
I have similar opinion as of Prabhakar singh.
