Comment on Account Opening Process - Corporate,Partnership Firm, & HUF

Udit commented on 28 Dec 2017, 06:39 PM


I have a partnership firm which is engaged in a textile business. I wish to invest the surplus cash into direct liquid MFs. However my RM at zerodha says the partnership agreements needs to say “The main business of the Partnership will be that of carrying on the business in the nature of Dealing of shares, stocks, securities, mutual fund, commodities, bonds …”. This doesn’t make sense – why would you need to say “main business”? Wouldn’t it suffice to say the firm is allowed to invest in mutual funds, equities etc (or something to that effect). The main business of the partnership is NOT trading in securities and thus i cant add that to the agreement. Do you guys not support partnership firms like mine?

Request you to look into this at your earliest.

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