One Person Company

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One Person Company

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. One of the biggest advantages of a One Person Company (OPC) is that there can be only one member in a OPC, while a minimum of two members are required for incorporating and maintaining a Private Limited Company or a Limited Liability Partnership (LLP). Similar to a Company, a One Person Company is a separate legal entity from its promoter, offering limited liability protection to its sole shareholder, while having continuity of business and being easy to incorporate.


Requirement for Registration of One PersonCompany (OPC)

1. OPC requires only one person as a shareholder i.e. 100% shareholding in one hand.
2. Apart from shareholder appointment of one nominee is requisite in OPC.
3. Maximum number of Director in an OPC can be raised to 15 only by passing special resolution.
4. Maximum Paid Capital in an OPC can be Rs. 50 Lac and Average turnover limit is Rs. 2 Crores.
5. Mandatory Conversion to Private limited Company is necessary in case an OPC exceeds the limit of Rs 2 crores turnover.


Benefits of Registration of One Person Company(OPC)

  1. Quick Online Registration of One Person Company (10-20 days varying state to state).
    2. An OPC is one man show and has more work independence (100% Shareholding of one person).
    3. Voluntary Conversion of an OPC into a Public/Private Limited Company is allowed subject to expiry of 2 years after incorporation
    4. An OPC structure has very basic Post Incorporation Compliances .
One person company Prices
1DSC and 1DIN 7999
1DSC and 1DIN +GST 9999
1DSC and 1DIN +GST+TM +MSME 16999

 

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