In this article today we will discuss the one-person company (OPC) , what is one person company (OPC) and how we can register or incorporate a one-person company in India
the Companies Act 1956 does not provide the incorporation of one person company with the new enactment of the Companies Act 2013 the one person company concept was introduced and the procedure and incorporation of one person company as he started from the Inception of Companies Act 2013 from April 2014 onwards major provisions of the companies it was introduced to be effective and one person company (OPC) procedure for incorporation have been started.
The concept of one person company is simple that a single individual can also incorporate a company without having any other shareholders with him or partners. An individual can incorporate a one-person company and that one-person company will be incorporated as a private limited company and can thereafter be converted to that normal private limited company having a minimum of two shareholders if the individual was to convert at a future date.
Before the Inception of the one-person company, there was the only option with a single individual to run a proprietorship concern and the most disadvantage for the proprietorship concern is that it has unlimited liability, Running a business under one person company provides an individual with limited liability protection.
Procedure to register a one-person company (OPC)
The procedure for registration of one person company for a normal private limited company is more or less same except the measured trains between these are there in case of one person company only a single individual will be the director and shareholder of the company while in case of other there is a requirement of minimum 2 directors and shareholders while in case of one person company you will require one person has your nominee as well.
Information required for One Person Company (OPC) Registration :
- Name of Company
- Address of Company
- Business Activity to carried on by Company
- Mobile Number and Email id of One Person Company
- Director of One Person Company
- Shareholder of One Person Company
- Nominee in One Person Company
Name of Company:
Unlike a normal private limited company, one person company name should also and with the private limited file including the word OPC in its name, Name of one person company should be unique and there should not be any other company registered in a similar name or there should not be any registered trademark in the name of the one-person company. TM that we will search will depend on the category of business activity of the one-person company.
Address of Company
Unlike any other company one person company should also have its own registered office address within 30 days of its Incorporation so you can incorporate a one-person company while providing the communication address and thereafter within 30 days of registration of the company, you can provide the registered office address for the company. If your one-person company is already having a rest office address you can provide that at the time of incorporation as well.
Following documents are required for the registered office address of the One Person Company (OPC) :
- Electricity Bill
- Rent Agreement , if office is on rent
- NOC from Owner
Business Activity to carried on by (OPC) Company :
The business activity of one person’s company should be clearly mentioned in the main objects of the memorandum of association of a company, Main objects mentioned in the memorandum of association of the company is something that a company can only carry on. At the time of incorporation of a one-person company e memorandum and articles of association are required to be submitted for approval to the registrar.
Mobile Number Email id of One Person Company (OPC) :
The director and shareholder of one-person companies to designate one email id and mobile number has email id and mobile number of one person company so that all the communication that he may receive on that email id and mobile number from register and other related authority is where the email ID is provided. the email id and mobile number can be of the director and shareholder himself for he may designate any Other ID is the email ID of a one-person company.
Director of One Person Company (OPC) :
In one person company a single individual can also become a director of that company the director of the one-person company is someone who runs the operations of the company operate the bank account in behalf of the company and carry on their duties as per the provisions contained Companies Act 2013
Following documents are required for the Director of One Person Company (OPC) :
- PAN card
- Aadhar Card
- Bank Statement/ Telephone/Mobile Bill
- Photo
- Mobile number
- Email Id
Shareholder of One Person Company (OPC)
A shareholder or member of a one-person company is a person who is the sole owner of the one-person company and has all the shares of the one person company with him only.
Nominee in One Person Company (OPC) :
Nominee in one person company is a person in home the shares of one person company will ways in the event of the date of the sole owner of the one person company at the time of registration application form INC 3 is required to be signed by the nominee to become nominee in the one person company
Step by Step Procedure for One Person Company (OPC) Registration
- Submit all the required documents to Company Regisration Consultant ( you may email us at support@fastlegal.in)
- Apply for Digital Siganture
- Signing of Nominee Form and other realted documents
- Application to registrar for Incorporatin of One Person Company
- Approval by registrar
- Issue of Certificate of Incorporation
- Issue of PAN and TAN
- Issue of ESIC and EPFO Registration
- Generation of Bank Account Number of One Person Company
Can One Person Can Incorporate Two One Person Company (OPC)
No, As per Provisions of Companies Act, 2013 a signle individual can only incorporate only one one person company, if he resigns or sold shares of eariler incorporated One Person Company than New OPC Can be Incorporated by him.
Can One Person Comany (OPC) can have Two or more Director
Yes, One Person Company can have two or more Directors but cannot have more than one shareholder/member
Can One Person Company purchase Shares or Other Company or can invest in shares of other company
No, One Person Company cannot make Investment in other Company