One Person Company is a new type of business entity that allows a single person or entrepreneur to operate a corporate entity with limited liability protection.
Everything you should know about One Person Company
- One of the advantages of OPC is that it has more opportunities, limited liability since the liability of this company is limited to the extent of the value of the share you hold, the individual could take more risk in business without affecting or suffering the loss of personal assets. It is the encouragement to new, young, and innovative start-ups.
- The ownership can remain in one single hand.
- You, only the owner stays convenient in quick decision-making, controlling and managing the business without following any elongated processes and methodologies as adopted in other companies. The sense of belonging and less interference inspires to grow the business further.
- It is a private company; OPC can raise funds through venture capital, financial institutions, angel investors, etc. An OPC can raise funds thus graduating itself to a private limited company.
- OPC is a separate legal entity and capable of doing everything that an entrepreneur would do.
- OPC is easy to sell, very minimum documentation, and the cost is involved in selling a One Person company is comparatively less.
What is the entire process of setting up an OPC?
Registering a One Person Company requires to have a simple process with a prior arrangement of Director photograph, DIN, PAN Card and address proof documents. Ask for Assistance
I have just incorporated my company. What are the MUST compliance(s) that I have to pay for?
Once an OPC gets incorporated, the Appointment of an auditor, ROC Fillings, Holding of Annual and General meetings, DIR KYC, Income Tax filings become some mandatory compliance to follow. Calls for an Expert
Is it mandatory to have GST even after registering a company?
A new startup registered under the Startup India scheme needs mandatory GST registration. If you are in E-commerce then acquiring GST is committal. Companies incorporated in other special category states when exceeding the limit of an annual turnover of INR20 lakhs even. Get started
What is the procedure for online registration of an OPC in India?
The incorporation of the Company is simpler online. Get DIN, PAN Card of directors, and address proof in order, and our team will assist you in getting it done within 7 days. Get started
I am already running my business. Is it possible to change it into a One Person Company?
Yes, it is possible to go for conversion. You will need to have an agreement which will be a sale agreement between the parties. An MOA stating the business takeover, the minimum share capital of 1,00,000 are additional requirements, to begin with. Talk to our expert for more details.
How can I change the nature of my business?
The changing nature would be out of PLC, LLP, Partnership. Yes, it is possible to go for conversion. You will need to have an agreement which will be a sale agreement between the parties. An MOA stating the business takeover, minimum requirements of the business are needed to begin with. Talk to our expert for more details.
Is it possible to change the auditor?
Yes, the companies Act 2013, allows removal or change of auditor before his term completion. Resignation and removal by passing a special ordinance are the two ways to follow. Get started.
What is ADT-1? Is this compliance mandatory for a One Person Company?
It is a form to inform the Registrar of Companies about the appointment of an auditor after its first Annual General Meeting. Every Company irrespective of their turnover and nature are required to appoint an auditor.Looking for an Auditor
What is the Company name search? Why is it important for new company registration?
Registrar of Companies expects all the applicants to follow a certain guideline before a name is applied. The applied company name is suggested to have a Brand Name, Business Activity, title (LLP, OPC, Pvt. Ltd.).New companies are entitled to go under the process as it is the first step to register the business, the process for the searching and freezing of the name is specified by MCA in the name of “RUN” i.e. Reserve Unique Name. Check for more updates.
Documents required for One Person Company Registration
- Minimum 1 Director (Director must be an Indian Resident)
- Minimum 1 Shareholder
- PAN Card of Directors
- DIN of Directors
- Address Proof of Firm
- DSC (Digital Signature Certificate)
- Certificate of Incorporation
- DIN of Directors
- Bank Account Opening Document Support
- Digital Signature of Directors
- PAN Card
- Customized Incorporation Master File
- MOA + AOA
- Company TAN/TDS Number
- GST Certificate (If Needed/Applicable)
- Application filling for Certificate of Commencement of business
- Assistance with further compliances