One Person Company
The concept of One Person Company is quite revolutionary. It gives the individual entrepreneurs all the benefits of a company, which means they will get credit, bank loans, access to market, limited liability, and legal protection available to companies
Features of the OPC:
- Personality driven passion and implementation of a business plan.
- The desire of the entrepreneurial person to take extra risk and willingness to take additional responsibility.
- Personal commitment to the business which is a sole idea of the person and close to his heart.
- Unlike a private limited or public limited company (listed or unlisted), OPCs need not bother too much about compliances, etc.
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What are the minimum requirements for getting registered a Private Limited Company?
Only one Director and Shareholder.
Diectors must hold DIN and DSC.
One Place of Registered Office (Residential Address may also be used as Registered office).
KYC documents of the Directors and Shareholders.
What will be included in the said Package?
- Personal Consultation.
- DSC and DIN of Directors.
- Name search and application for reservation of name.
- Preparation of MOA and AOA of the Company.
- Applying for the incorporation with the Ministry of Corporate Affairs and PAN / TAN with the concerned authorities.
- Obtaining Certificate of Incorporation and PAN/TAN number.
FAQ’s
Who is eligible to act as a member of an OPC?
Only a natural person who is an Indian citizen and resident in India shall be eligible to act as a member and nominee of an OPC
A person can be a member in how many OPCs?
A person can be member in only one OPC.
Is there any threshold limits for an OPC to mandatorily get converted into either private or public company?
In case the paid up share capital of an OPC exceeds fifty lakh rupees or its average annual turnover of immediately preceding three consecutive financial years exceeds two crore rupees, then the OPC has to mandatorily convert itself into private or public company.
Can an Indian citizen who is living abroad allowed forming One Person Company?
No. As per the Act, Only Indian born citizens can form a One Person Company. Non-resident Indians or individuals who do not reside in India for over 182 days cannot incorporate a OPC.
Is Foreign Direct Investment allowed for One Person Company?
No, FDI is not allowed for One Person Company, if it is, then it will lose its One Person Company status.