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Get Your One Person Company (OPC) Company Incorporation with us in 12 days.
At Complianto Consulting, our experts are committed to guide you on the right form of Company Incorporation
An OPC is a company established by a single person and specially suitable to those entrepreneurs who finds it difficult to have a co-founder.
A single individual establishes and manages the company and OPC has all the features of a company, such as perpetual succession, limited liability and a separate legal entity and at the same time it offers you the freedom of sole proprietor since there will be only one owner.
At Complianto Consulting, our experts are committed to guide you on the right form of Company Incorporation
We will provide you all the necessary documents that are required once a One Person company (OPC) is Incorporation.
Below are the Benefits that you get in Private Limited Company Incorporation Over Limited Liability Partnership or One Person Company or Partnership firm
Digital Signature Certificate (DSC) is a token issued by the Certified Authorities. A DSC is an eSignature used for filing forms with MCA by the directors, promoters, and shareholders. All the directors and the subscribers to MOA (promoters of the company) need DSC for submitting e-forms for incorporation. Director’s DSC is also used while filing GSTR, ITR, and ROC forms.
As per Section 2(62) of the Companies Act, 2013, One Person Company means a company which has only one person as a member.
Section 3 of the Act indicates that OPC is also a private limited company meaning all the characteristics of a private limited company shall apply to a OPC too.
Only a natural person having citizenship of India can be a member of One Person Company.
Since there is only one member in OPC and in case of any uncertainty who will continue the business. For addressing this issue a concept of appointing a nominee has been incorporated in the law. And it is mandatory to appoint a nominee for OPC.
No, neither any one can become a member nor nominee of more than one OPC.
He/She has to withdraw membership from one of the OPCs within 180 days.
The OPC is required to establish a private limited company if: the paid-up share capital reaches Rs. 50 lakhs, or the average annual turnover during the relevant period surpasses Rs. 2 crore. Such a company must change to a private or public limited company within 6 months of the above-mentioned conditions.
OPC can not be converted as Section 8 company and also cannot carry on the business of NBFC.
The choice between an OPC and a Private Limited Company depends on various factors, such as the number of members, the structure of ownership, liability protection, and long-term goals. OPC is suitable for single entrepreneurs, while Private Limited Company offers more flexibility and scalability for businesses with multiple founders or investors.
Form INC-4 is filed with the Registrar when the nominee of an OPC takes the place of the sole member of an OPC in the event of his death or incapacity to enter into a contract.
Such a form is required to be filed within 30 days of change in membership with the prior written consent of the person so nominated in Form INC-3.
An OPC can be converted into a private company or public company other than a company registered under section 8 of the Act in the following manner:
OPC have to comply with various provisions like for Private Limited Company but have some exemptions as compare to private limited company:
An OPC can have a minimum of 1 director and a maximum of 15 directors.
Following are the cases where new nominee require to be nominated
1. In case nominee withdraw his consent:
i.) Nominee may at any time withdraw his/her consent, by giving notice to Member and Member shall within 15 Days from the Date of receipt of Notice of withdrawal of consent, nominate a new nominee, with his prior consent in Form INC 3 and give intimation to company about such nomination.
ii.) OPC shall within 30 Days from the date of receipt of notice of withdrawal of consent, file with the Registrar, notice of withdrawal of consent in Form INC 4, along with consent of new nominee in Form INC 3.
2. If sole member change nominee on its own:
i.) Sole member at any time by giving notice to OPC, change the name of person nominated by him (nominee) and nominate new nominee, with his prior consent in Form INC 3.
ii) Company shall within 30 Days of receipt of notice of such change, file with the Registrar, notice of such change in Form INC 4, along with consent of new nominee in Form INC 3.
Two methods of conversion are there: A) Voluntary Conversion B) Mandatory Conversion
i.) Voluntary Conversion: An OPC can voluntarily converts itself into Private or Public Company, provided 2 years must have elapsed since incorporation. In simple words, An OPC, after completion of 2 Years from the Date of Incorporation, can convert itself into Private or Public Company.
An application in this regards to be made in Form INC-6, pursuant to Section 18 of Companies Act, 2013 and Rule 7 Companies (Incorporation) Rules 2014.
ii.) Mandatory Conversion:
a) If at any time after incorporation, Paid up Share Capital of company exceeds 50 L Rs. OR its average annual turnover of preceding 3 consecutive financial year exceeds 2 cr. Rs, it ceases to continue as OPC.
b) Intimation of exceeding threshold limit required to be given to ROC in Form INC-5 within 60 Days from the day on which limit exceeds.
c) Application for conversion of OPC into Private/Public Company to be made in Form INC-6, within 6 Months from the effective date on which the threshold limit exceeded.