What is One Person Company (OPC)? How Do You Register a One Person Company?

In Act 2013 of the Companies, A new concept launched regarding the One Person Company (OPC). In a Private Company, You will need a minimum of two Directors and members which are required whereas with a Public Company, at least three Directors and a minimum of seven members. A one person could not incorporate a company opening.

In Act 2013 of the Company as per section 2 (62), a company can be made with one director and one member. It is a form of a company where the requirements of compliance are lesser than that of a private company.

Who Can Form One Person Company?

In the old Act, 1956 of Companies minimum of two directors and shareholders were needed to form a private limited company. Nevertheless, in the case of a one-person company, only one person is obliged who can be a shareholder as well as the Director? Hence the name, One Person Company.

One Person Company Registration Process

1: Apply for DSC (Digital Signature Certificate) - You need to the follow first step is to get the DSC (Digital Signature Certificate) of the proposed director which required documents.

2: Apply for DIN (Director Identification Number) - After Registration of Digital Signature Certificate (DSC) is made, the next step is you need to apply for the DIN (Director Identification Number) of the intended Director in SPICe Form including with the name and the address proof of the director.

3: Approval Application of the Name - You will have to follow the next process while incorporating for an OPC (one person company registration) is to choose on the Company name. The company name will be in the form of “ABC (One Person Company) PLC.

4: Requirement of Documents - Next step you will have to follow to make the documents which are required to be submitted to the ROC:

5: Filing Forms including MCA - These all documents will be added to SPICe Form, SPICe-AOA and SPICe-MOA including the Director and the professional's DSC, and will be uploaded to the MCA site for approval.

6: Certificate of Incorporation Issue - On confirmation, Companies registration (ROC) will issue a Certification of Incorporation and we can initiate our business.

One Person Company Registration Fees

OPC can be started with any capital amount. Though, the fee must be paid to the Government for allotting a shares minimum worth Rs. 1 lakh [Authorized Capital Fee] during the incorporation of the OPC. There is no necessary to show capital proof which invested during the incorporation method.

What are the benefits of one Person Company?

The being a Small Scale Industries (SSI) Benefits.  One Person Company can avail the many benefits given to Small Scale Industries like an interest lower rate on loans, secure funding from the bank without saving any security to a definite limit, different benefits under foreign trade policy and others.