One Person Company Registration (OPC) The concept of One Person Company in India was introduced through the Companies Act, 2013 to support entrepreneurs who on their own are capable of starting a venture by allowing them to create a single person economic entity.
OPC Registration Advantages of a One Person Company (OPC)
OPC Registration EASY TO MANAGE
OPC Registration there is no requirement to hold annual or Extra-Ordinary Meeting. Only the resolution shall be communicated to the members. Only one Board Meeting is required to be done in each half of the calendar year. The provisions of Section 174 of the Companies Act, 2013 relating to a quorum of meetings for Board is not applicable to OPC.
While doing business as a proprietorship firm, the personal assets of the proprietor can be at risk in the event of failure, but this is not the case for a One Person Private Limited Company, as the shareholder liability is limited to his shareholding. This means any loss or debts which are pure of business nature will not impact, personal savings or wealth of an entrepreneur.
Banking and financial institutions prefer to lend money to the company rather than proprietary firms. In most of the situations, Banks insist the entrepreneurs convert their firm into a Private Limited company before sanctioning funds.
In an OPC, a director you can receive remuneration, as a lessor, you can receive rent, as a creditor you can lend money to your own company and earn interest. Directors’ remuneration, rent, and interest are deductible expenses that reduce the profitability of the Company and ultimately bring down the taxable income of your business.
- Self-Attested Copy of Pan Card of Directors
- Self-Attested Copy of Voter Id card /Aadhaar card
- Passport size photograph of directors
- Email Id & Mobile No of all Designated Partners
- Electricity / Water bill (Proposed registered office)
- Copy of rent agreement (If rented Property)
- Landlord NOC (Format will be provided)
- Copy of Property Papers (If owned Property)
An approximate of 15 days (subject to ROC processing time) is required for incorporation of OPC
Application for DIN
Application for Director Identification Number (DIN) issued by MCA for an existing Director or a person intending to be a director. This can be obtained in 5 to 7 working days.
Application for Name Availability
Check availability for name of OPC and also trademark, if any. At least 6 names must be provided by the applicant in the order of their priority. Also check for any Trademark registered in the proposed names of the company. After drafting Main Object file INC 1 is to be filed with ROC for name availability. This will be approved within 2-3 working days.
Final Document Submission
Incorporation documents can be submitted to the MCA along with an application for incorporation. This will be approved within 5 to 7 working days (subject to ROC processing time).