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👉 Register Your One Person Company
(OPC) Today!
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Complementary Incorporation Kit;
Complementary Incorporation Kit;
A One Person Company (OPC) is a unique business structure
introduced in India under the Companies Act, 2013, specifically designed for
solo entrepreneurs. It offers the benefits of a corporate entity with the
simplicity of sole proprietorship. This hybrid structure is ideal for
individuals who want to start their business independently but need the
protection of limited liability and the credibility of a registered company.
Before the introduction of OPC, a single entrepreneur who
wanted to start a business had to opt for a sole proprietorship, which lacked
the legal protections and benefits of a corporate entity. OPC has bridged that
gap, providing a framework where a single person can establish a company while
enjoying corporate advantages.
The One Person Company (OPC) as a strong improvement over the
sole proprietorship. Its provide limited liability with full control over the
management. This person will be the only director and shareholder (there is a
nominee director, but with no power until the original director is incapable of
entering into contract). Further that if an OPC hits turnover of over and above
Rs. 2 crore or has a paid-up capital of over Rs. 50 lakh, it must be convert
into a private limited company or public limited company within six months.
Why Choose
OPC Registration?
Start today and let LegalBoss handle the
legalities while you focus on growing your dream business!
Sole Proprietorships come to an end with the death of the proprietor. As an OPC has a separate legal identity, it would pass on to the nominee director and, therefore, continue to exist.
OPC is one of the easiest forms of manage corporate structure with minimum compliances required and less number of form filling to the Registrar of Companies (ROC).
Ownership of a business can identify from the share held by the shareholder and it can be easily transferred to any person or an entity by transferring shares. In a one person company, the ownership can be transferred by altering the shareholding, directorship and nominee director information.
As an OPC needs to have its books audited annually, it has greater credibility among vendors and lending institutions
In OPC Liability is limited and provide full control over management. In a one person private limited company, only investment in business is lost, personal assets of the directors are safe.
A nominee ensures that the business continues smoothly in the event of your absence or incapacity.
A company has separate identity and being an artificial person, can acquire, own, enjoy and alienate property in its name. The property owned by a company could be machinery, building, intangible assets, land, residential property, factory, etc., Further; the nominee director cannot claim any ownership of the company while serving as a nominee director.
One Person Company is the only type of corporate entity that can be started and operated by a single promoter with limited liability protection in India.