Charges, Borrowing and Security
An LLP borrows more easily than a company and secures its borrowing less visibly, because there is no LLP equivalent of section 77 and therefore no public register of LLP charges.
- 3 pages
- 30
- Word and PDF
- 12 September 2026
The 2 formats inside
- 1Resolution of partners, authority to borrow and to create securitys.26, s.27; LLP Agreement reserved matterOn its own₹149
- 2Resolution of partners, opening a bank account and signing authorityLLP Agreement, banking clauseOn its own₹149
Read the opening
The first part of “Resolution of partners, authority to borrow and to create security”, as it downloads. Blanks are highlighted.
Extract from the record of the decisions of the partners of [LLP's name] LLP dated [Date of the partners' decision] — a certified copy is required by the lender
AVAILING OF CREDIT FACILITIES AND CREATION OF SECURITY
The partners considered the sanction letter dated [Date of the bank's sanction letter] issued by [Name of the bank], [Branch] (the "Bank"), offering credit facilities to the LLP, and the draft facility and security documents placed before the partners. The partners noted that clause [7.3(f)] of the Limited Liability Partnership Agreement dated [Date of the LLP Agreement] requires the unanimous consent of all the Partners for borrowing exceeding Rs [Borrowing above which all partners must consent (Rs)] and for the creation of any security over the assets of the LLP.