Asktrix

One Person Company (OPC) Registration in India with Asktrix

A One Person Company (OPC) is a perfect business structure for solo entrepreneurs who want to enjoy the benefits of a private limited company with simplified compliance requirements. At Asktrix, we provide comprehensive OPC registration services with expert guidance throughout the entire process.

What is a One Person Company?

A One Person Company (OPC) is a type of private company that can be formed with just one person as a member. Introduced by the Companies Act, 2013, OPC allows individual entrepreneurs to enjoy the benefits of a private limited company while maintaining complete control over their business operations.

Why Choose Asktrix for OPC Registration?

With years of experience in company incorporation, Asktrix offers end-to-end support for OPC registration. Our team of experts ensures compliance with all legal requirements while providing personalized guidance tailored to your business needs.

Key Features of a One Person Company

  • Single Shareholder: Only one person can be the member/shareholder
  • Limited Liability: Personal assets are protected from business liabilities
  • Separate Legal Entity: Company has its own legal identity distinct from the owner
  • Perpetual Succession: Company continues to exist regardless of changes in ownership

Types of One Person Companies

  • Trading OPC: Engaged in buying and selling of goods
  • Manufacturing OPC: Involved in production and manufacturing activities
  • Service OPC: Providing various services to clients

Documents Required for One Person Company Registration

The following documents are essential for OPC registration:

  • Identity Proof: PAN card, Aadhaar card, and passport-sized photographs
  • Address Proof: Utility bills, bank statements, or rental agreements
  • Director Identification Number (DIN): Unique identification number for the director
  • Digital Signature Certificate (DSC): Required for online filing of documents
  • Registered Office Address Proof: NOC from property owner and utility bills

Eligibility Criteria for Registering a One Person Company

To register an OPC, the following criteria must be met:

  • Single Shareholder and Nominee: One person as member and one nominee
  • Minimum and Maximum Shareholder: Only one shareholder allowed
  • Indian Citizenship: Must be an Indian citizen and resident
  • Company Name Approval: Unique name that complies with naming guidelines

Step-by-Step Registration Process with Asktrix

Our streamlined process ensures quick and hassle-free OPC registration:

1

Digital Signature Certificate (DSC)

Obtain DSC for the director to enable online document signing and filing.

2

Director Identification Number (DIN)

Apply for DIN for the director through Form DIR-3.

3

Name Approval

Submit company name for approval through RUN (Reserve Unique Name) service.

4

File SPICe+ Form

Submit SPICe+ form with all required documents and information.

5

Submit MOA and AOA

Submit Memorandum of Association and Articles of Association.

6

Certificate of Incorporation

Receive Certificate of Incorporation and commence business operations.

7

PAN and TAN

Obtain PAN and TAN for tax compliance purposes.

8

Bank Account Setup

Open a current account in the company's name for business transactions.

Rules and Regulations for One Person Companies

OPCs must comply with various regulations under the Companies Act, 2013:

  • Annual Financial Statements preparation and filing
  • Annual Filing requirements with ROC
  • Change of Nominee procedures and documentation
  • Compliance with Companies Act, 2013 provisions

Compliance Requirements After Registration

Post-registration, OPCs must fulfill various compliance obligations:

  • Annual ROC Filing: Annual return and financial statements filing
  • Annual Income Tax Return: Income tax return filing for the company
  • Event-Based Compliances: Filing requirements for specific events
  • Maintenance of Records: Proper maintenance of company records and registers

Benefits and Government Schemes for One Person Companies

  • Limited Liability Protection: Personal assets are protected from business liabilities
  • Separate Legal Entity: Company has its own legal identity
  • Government Schemes: Eligibility for various government incentives and schemes
  • Easy Management: Simplified management structure with single owner
  • Conversion to Private Limited Company: Can be converted to Pvt Ltd when needed
FAQ

Frequently Asked Questions

Find answers to common questions about One Person Company registration in India.

Who can start a One Person Company?

Any Indian citizen who is a resident of India can start an OPC. The person must be at least 18 years old and should not be a minor.

How is a One Person Company different from a Private Limited Company?

OPC can have only one member/shareholder, while a private limited company requires minimum 2 members. OPC has simplified compliance requirements compared to private limited companies.

What happens if the sole owner of an OPC dies?

In case of death of the sole member, the nominee becomes the member of the OPC. If no nominee is appointed, the OPC will be dissolved.

Can an OPC issue shares to the public?

No, an OPC cannot issue shares to the public. It can only have one member/shareholder and cannot invite public subscription.

What is the annual turnover limit for OPCs?

An OPC must convert to a private limited company if its paid-up share capital exceeds ₹50 lakhs or its average annual turnover exceeds ₹2 crores in three consecutive years.

Are OPCs eligible for MSME benefits?

Yes, OPCs are eligible for MSME benefits and can register under the MSME Act to avail various government schemes and incentives.

How many directors can an OPC have?

An OPC can have a minimum of 1 director and a maximum of 15 directors. The sole member can also be the director.

What are the compliance requirements for OPCs?

OPCs need to file annual returns, financial statements, and maintain proper books of accounts. They also need to conduct board meetings and maintain statutory registers.

Can foreigners start an OPC in India?

No, only Indian citizens who are residents of India can start an OPC. Foreign nationals cannot incorporate an OPC.

Is a Digital Signature Certificate required for OPC registration?

Yes, a Digital Signature Certificate (DSC) is mandatory for OPC registration as it is required for online filing of documents with the ROC.

Can an OPC be converted to a Private Limited Company?

Yes, an OPC can be converted to a private limited company by adding more members and following the conversion process as per Companies Act, 2013.

Do OPCs need minimum paid-up capital?

No, there is no minimum paid-up capital requirement for OPCs. You can start with as little as ₹1.

Are there tax benefits for OPCs?

OPCs are subject to corporate tax rates. However, they may be eligible for various tax deductions and benefits available to companies under the Income Tax Act.

How many shareholders can an OPC have?

An OPC can have only one shareholder/member. This is the fundamental characteristic of an OPC.

What happens if an OPC's turnover exceeds the limit?

If an OPC's paid-up capital exceeds ₹50 lakhs or average annual turnover exceeds ₹2 crores, it must convert to a private limited company within 6 months.

Do OPCs need to hold Annual General Meetings?

No, OPCs are not required to hold Annual General Meetings (AGMs) as there is only one member. However, they need to conduct board meetings.

Is a nominee mandatory for OPC registration?

Yes, appointing a nominee is mandatory for OPC registration. The nominee will become the member in case of death or incapacity of the sole member.

Can the nominee be changed?

Yes, the nominee can be changed by filing the necessary forms with the ROC. The new nominee must give consent for the appointment.

Do OPCs need to publish their financials?

OPCs need to file their financial statements with the ROC, but they are not required to publish them publicly like public companies.

What if the OPC wants to add more shareholders?

If an OPC wants to add more shareholders, it must convert to a private limited company by following the conversion process under the Companies Act, 2013.

With Asktrix, registering a One Person Company is straightforward and reliable, allowing solo entrepreneurs to build their businesses with limited liability protection. For a hassle-free OPC registration process, expert compliance management, and affordable packages, contact Asktrix today and start your journey towards establishing a One Person Company in India!

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