ICAI Members can choose different approved models for professional practice, like Practice in individual CA name or as a sole proprietary CA firm or as a partnership/ LLLP CA firm or by Merger of two or more CA firms or as Network of CA firms.
Networking model of CA practice is generally considered as the most effective platform for capacity building, as the same can facilitate multi locational presence of the network firms, strengthening partnerships and enhanced functioning thereof.
Networking model is one of the preferred choices, and hence the Council of ICAI has issued Guidelines for CA Firms Networking, in order to enable the Indian CA firms to develop a sound Network of Firms. In this regard, it may be noted that Foreign firms are not yet allowed to join as the networking partners. Therefore, these guidelines are effectively meant for networking amongst domestic CA firms only.
These guidelines have been revised/ modified to make it easier for the Indian CA firms to form network and also remove any impediments and bottlenecks that dissuade the firms from growing bigger by joining a network, which helps in not only protecting the professional practice of the small and medium firms but also in retaining their identity.
Further ICAI has announced on 01/04/2022 that online process has been launched for formation of Networking of CA firms, as per new networking guidelines approved by the Council in 2021. The ‘Networking’ tab is available under Firm Module in Self Service Portal (SSP) and members can now directly apply through Portal for approval and registration of Network.