Section 2(62) of the Companies Act defines One Person Company as a company consisting of only one person or one individual. OPC is a new concept in India. It consists of all the benefits of a private limited company. Members of the company are buyers of its memorandum of association. In other words, they are their shareholders. In OPC there is only one such shareholder.
Being a new concept, it is already in demand. It sometimes consists of all the benefits that are otherwise absent in sole proprietorship and Partnership. OPC Company Registration in India is done as per the Companies Act 2013. Registration is also sometimes done abiding by the Companies (incorporation rule) 2014.
OPC is a Company where Company has a separate existence with its shares in the market. It is based on the concept of Limited Liability unlike that of Sole Proprietorship.
OPC is often preferred by entrepreneurs who are new to the field of business and entrepreneurship over a sole proprietorship venture. This is because OPCs offer many advantages with minimum risks and less paperwork. Also, the compliance burden is low.
Eligibility Requirements for Online OPC Registration in India:-
Natural persons like Indian citizens and residents in India are eligible to form an OPC. Unlike Sole Proprietorship, the sole member of the OPC has to decide on a nominee who will lead the Company once the original member dies or becomes incapable to carry on business. Documents like PAN Card, ID Proof, Address Proof, Photographs, Email Id, and Contact Details of member and shareholders are essential requirements for registration of OPC.
Documents related to office address are also required.
What are the Benefits of OPC?
Only one member forms an OPC
The Company remains irrespective of the presence or absence of its head member as a nominee is always allotted.
There is no perpetual succession, unlike other companies.
The liabilities of its members are always limited.
Your business will have a separate recognition with your Company bank account and Pan Details and liabilities.
Easy to be formed and maintained.
OPC enjoys certain special privileges and various reservations against the Company’s Act unlike other types of companies.
The Necessary and Required Steps for One Person Company Registration:-
You firstly require a digital signature certificate. This signature is valid for two years and you only need a passport size photograph, self-attested address proof, and PAN card to get your digital signature done. This digital signature is mandatory and very essential for OPC as you will require it in the future for your OPC formation.
Secondly, you need to acquire your direct identification number which is generated by the Ministry of Corporate Affairs. The number is for the lifetime of a Company and every company must have one.
By filling the RUN Form, you can reserve the proposed name of your company. You have to pay the designated fee while filling the form. At max. You can reserve two names for your company for 20 days. However, the decision of the registrar is final while deciding the company’s name; thus, Registrar has all the discretion while naming your company.
Finally, you are required to acquire a certificate of incorporation by applying. OPC registration can also be done through SPICe forms along with MOA and AOA for private limited company registration.
After verification, the Registrar of Companies (ROC) has to produce a Certificate of Incorporation. Next, you are good to go and start your venture!
We provide OPC registration benefits at minimum costs:-
Our OPC Registration Package includes:-
DIN for 1 Director
Digital Signature for 1 Director
ROC registration Fees
Company Pan Card
1. What is the eligibility of an OPC member?
Only a natural person and a resident of India.
One can call oneself a resident of India if he/she has stayed in India for a period of at least 180 days.
2. How many OPC memberships can an individual person acquire?
3. Are there any tax advantages on starting an OPC?
No such tax advantage. Like any other company, the tax rate is 30% and is fixed along with MAT & Dividend Distribution Tax