Registration

One Person Company (OPC)

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More About One Person Company (OPC) Registration

What is One Person Company (OPC)?

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.

Minimum requirement to incorporate OPC;

  • Minimum 1 Shareholder
  • Minimum 1 Directors
  • The directors and shareholders can be same person
  • Minimum 1 Nominee ? Only Indian residents can be Shareholder & Nominee
  • DIN (Director Identification Number) for all Directors
  • DSC (Digital Signature Certificate) for 1 Promoters/Director & 1 Nominee
  • The registered office of an OPC does not have to be a commercial space. Even a rented home can be the registered office, so long as an NoC is obtained from the landlord.

FAQ on One Person Company (OPC) Registration

Can I start more than one OPC at a time?
No, an individual can form only one OPC at a time. This rule also applies to the nominee.
Can NRI / Foreigner incorporate OPC?
Only Indian residents can register an OPCs, and that, too, only one at a time, as per the specifications of the Ministry of Corporate Affairs.
Does my business have some level of turnover to incorporate OPC Private Limited?
This is not true; a OPC Private limited company is one of the modes of doing business, which means it can be started from day one. For that matter even after incorporating a OPC private limited there is no obligation that the company must have sales or turnover.
How many directors can there by in an OPC?
In to the OPC only single person Is the Director and shareholder. There is also a nominee director, but nominee exists only to take over in case of the death or incapacitation of the director. The nominee is chosen by the director, and can be anyone, such as your spouse, parents or siblings.
How much capital is required to start an OPC?
There is no specific capital requirement for incorporation of OPC but suggestion is to start with authorised capital of Rs. 1 lakh.
There is any tax benefit available to an OPC?
No general advantages; though some industry-specific advantages are available. Tax is to be paid at flat rate of 25% on profits, Dividend Distribution Tax, Minimum Alternate Tax applies.

Documents Required for One Person Company (OPC) Registration

Minimum Requirements

Documents of Proposed Directors/Shareholders Required:
1. Pan Card - self Certified Copy
2. Aadhar card -self Certified Copy
3. I’d proof (Driving License, Voter ID, Passport) -self Certified Copy
4. Address proof (Lightbill, Mobile Bill, Bank statement - not older than 2 month) -self Certified Copy
5. Two photo (Passport Size)

Information of Proposed Directors/Shareholders Required:
1. Education Qualification 
2. Current Occupancy 
3. Birth Place with District, Taluka, State
4. No of year stay at present address (year and month)
5. Email I’d
6. Contact no.

Specific Requirements

For Registered Office of the Company:

1. Electricity Bill / Telephone Bill / Mobile Bill (Not Older than 2 Months)

A utility bill, rent agreement or sale deed and an NOC from the landlord with his / her consent to use the office as a registered office of a company must be submitted as well.

Advantages of One Person Company (OPC) Registration

Points to make your decision easy

Steps involved in Registration of One Person Company (OPC)

STEPS & TIME DURATION
1

Day 1-2

  • Collection of Basic Documents and Information's
  • Application for Digital Signature Certificate (DSC)

2

Day 3-4

  • Search Proposed Company Name Availability.
  • Draft Required Documents for registration of Company. 

3

Day 4-6

  • Application for Name Reservation
  • Filling a Forms for Registration of the Company.

4

Day 7-8

  • Getting a Incorporation Certificate (Registration Certificate)
  • Getting PAN, PF, ESIC, TAN Number