Start Your OPC Registration Online in India
Run your business alone without needing any partners, while keeping your personal and business finances separate.
- No Hidden Charges
- Lowest Price Guarantee
No Hidden Charges
Lowest Price Guarantee
Meghana Woonna2024-03-06Expert advice, friendly staff, and excellent client serviceMOHD RAFIQ KHAN2024-03-01Made the GST filing process understandable for a layman like meRAMARAO IMMIDI M V R S2024-03-01Partnership formation advice was invaluable, truly professionalPRABHAKARA RAO2024-03-01Their guidance on trade license was clear and helpfulAvinash -ADMIN2024-03-01Very good servicesDSK Sai2024-03-01They are the best at what they do, highly recomendRam katla2024-03-01We registered LLP here, it was a good experienceVinay chowdary Kurra2024-03-01Flexible auditingkandukuri avinash2024-03-01Impressed with their knowledge and service quality.Charan Charan2024-03-01Best accounting team ever
Four Steps to Get Your Incorporation Certificate
Fill the Form
Provide business details
Add to cart
Pay the required fee online
Submit Documents
Upload required papers
Certificate delivery
Official Document Delivery
Find the best plan for your needs
Basic Plan
+GST
- Company Name Approval
- DIN for 1 Directors
- DSC for 1 Directors
- Company Incorporation Certificate
- AOA & MOA
- Company E-PAN & E-TAN
- Company Master Data
- Current Account Opening Support
- Electronic Certificate Delivery
Standard Plan
+GST
Basic Plan
+
Â
- MSME/Udyam Registration
- INC-22 Filing
- Auditor Appointment
- Hard Copy Certificate Delivery
Premium Plan
+GST
Standard Plan
+
Â
- INC 20 A Filing
- Trade License
- Shops & Establishment License
- GST Registration
- Business Letterhead(10 copies)
- Company Seals
Overview of OPC
A One Person Company (OPC) in India is a unique form of business entity introduced by the Companies Act, 2013, allowing a single individual to own and operate a company with limited liability protection. This structure provides the benefits of a private limited company, such as legal status and limited liability, while requiring only one shareholder and one director, simplifying the management and compliance requirements.
OPCs are particularly advantageous for solo entrepreneurs and small business owners who want to enjoy corporate benefits without involving multiple shareholders. They can convert into a private limited company upon meeting specific conditions. However, an OPC cannot carry out non-banking financial investment activities or convert voluntarily into any other type of company before two years from the date of incorporation, unless it crosses certain turnover or paid-up capital thresholds.
A One Person Company (OPC) in India is a unique form of business entity introduced by the Companies Act, 2013, allowing a single individual to own and operate a company with limited liability protection. This structure provides the benefits of a private limited company, such as legal status and limited liability, while requiring only one shareholder and one director, simplifying the management and compliance requirements.
OPCs are particularly advantageous for solo entrepreneurs and small business owners who want to enjoy corporate benefits without involving multiple shareholders. They can convert into a private limited company upon meeting specific conditions. However, an OPC cannot carry out non-banking financial investment activities or convert voluntarily into any other type of company before two years from the date of incorporation, unless it crosses certain turnover or paid-up capital thresholds.
Types of Various Entites
Helping entrepreneurs and business owners decide the most suitable legal structure for their operations.
| FEATURES | COMPANY | OPC | LLP | PARTNERSHIP FIRM | SOLE PROPRIETORSHIP |
|---|---|---|---|---|---|
| Legal Structure & Regulatory Authority | Legal Structure & Regulatory Authority | Governed by the Companies Act; a single-member entity. | Regulated by the LLP Act, a hybrid form combining elements of a private limited company and a partnership firm. | Governed by the Indian Partnership Act; not a separate legal entity. | Not a separate legal entity; owned by an individual. |
| Ownership | Owned by shareholders. | Owned by a single individual. | Owned by partners. | Owned by partners. | Owned by a single individual. |
| Min & Max Members | Public Company: Minimum: 3 Directors & 3 Shareholders Private/Sec-8 Company: Minimum: 2 Directors & 2 Shareholders Maximum: 15 Directors &200 shareholders | Minimum 1 member; can convert to a private company if paid-up capital exceeds a threshold. | Minimum 2 partners; no maximum limit. | Minimum 2 partners Maximum 50 Partners. | Single owner. |
| Liability Of Owners | Limited liability for shareholders. | Limited liability for the sole member. | Limited liability for partners. | Unlimited liability for partners. | Unlimited liability for the owner. |
| Formation Process & Time | Formal process involving MOA, AOA; time-consuming. | Simplified formation similar to a private company; less time-consuming. | Requires LLP Agreement; less formal than a company; moderate time. | Informal, created through a partnership deed; relatively quick. | Informal, created through a partnership deed; relatively quick. |
| Documentation | MOA, AOA, and various statutory documents. | MOA, AOA, and various statutory documents. | LLP Agreement, other required documents. | Partnership deed. | Minimal documentation. |
| Registration Cost & Compliance | Higher registration costs; extensive compliance | Moderate registration costs; similar compliance to a private company. | Lower registration costs; lesser compliance than a company. | Relatively lower registration costs; moderate compliance. | Minimal registration costs; minimal compliance. |
| Common Seal Usage | Required and commonly used for official documents. | Optional, not mandatory. | Not required, often not used. | Not applicable, as partnership firms do not have a common seal. | Not applicable, as partnership firms do not have a common seal. |
| Perpetual Succession | Has perpetual succession. | Perpetual succession maintained. | Has perpetual succession. | Does not have perpetual succession. | Does not have perpetual succession. |
| Management & Decision Making | Board of Directors and shareholders. | Sole member manages the company. | Partners or designated managers. | Partners or designated managers. | Sole proprietor makes decisions. |
| PAN | Company has its own PAN Number | OPC has its own PAN Number | LLP has its own PAN Number | Partnership firm has its own PAN Number | Use sole proprietor PAN number, no separate PAN required. |
| Brand Image | Generally viewed as more formal and stable. | Carries a corporate image. | Seen as a hybrid, combining features of companies and partnerships. | Image varies; often associated with traditional businesses. | Image may vary; often associated with small businesses. |
| Priority In Tenders | Often enjoys higher priority in tenders due to its established corporate structure and credibility. | May have a moderate standing, with priority depending on the project and bidding conditions. | Tends to have moderate priority, influenced by the LLP's reputation and track record. | Priority varies, usually based on the partners' credentials and the firm's past performance. | Generally has lower priority, as tenders may favor entities with a more formal organizational structure. |
| Ease Of Loan | Generally has easier access to loans due to its separate legal entity status and established credit history. | May face challenges as it is a relatively new concept, and lenders may perceive higher risk. | Loan accessibility is moderate, dependent on the LLP's financial standing and partners' creditworthiness. | Access to loans can be limited, relying heavily on the partners' personal creditworthiness. | Limited access to loans, typically tied to the proprietor's personal credit history. |
| Employee Stock Options (ESOPS) | Commonly used for employee incentives. | ESOPs are permitted. | ESOPs are allowed but less common. | Limited use of ESOPs. | ESOPs are not applicable. |
| Foreign Direct Investment (FDI) | Generally allows FDI under specified conditions. | May be subject to FDI restrictions. | Permits FDI in sectors allowed by the government. | FDI regulations may apply. | Limited FDI options. |
| Compliance Requirements | More extensive compliance requirements. | Similar compliance requirements as a private company. | Lesser compliance requirements compared to a company. | Relatively fewer compliance requirements. | Minimal compliance requirements. |
| Statutory Audits | Statutory Audits | Statutory audit is required. | Mandatory if the annual turnover exceeds a specified limit. | Not mandatory; partners may opt for an audit. | Statutory audit is not required unless prescribed by specific laws. |
| Income Tax Rates | For Domestic Companies: Up to a turnover of INR 400 crore: 25% Over INR 400 crore: 30% (plus applicable surcharge and cess) For Foreign Companies: 40%(plus applicable surcharge and cess) | Taxed at the same rates as companies. | Taxed at a flat rate of 30% (plus applicable surcharge and cess) | Taxed at a flat rate of 30% (plus applicable surcharge and cess) | Taxed at individual income tax rates (applicable slab rates for individual taxpayers) |
| Transferability Of Ownership | Shares can be transferred. | Ownership transfer is restricted. | Ownership transfer is possible with the consent of partners. | Transfer of partnership interest requires consent. | Ownership is not transferable. |
| Conversion Process | Can convert to LLP or OPC, subject to approvals. | Can convert to a private company. | Can convert to a private company, and vice versa. | Can convert to an LLP or company. | Can be converted into a company or LLP. |
| Dissolution Process | Winding up involves complex legal processes. | Winding up can be initiated voluntarily or by the Tribunal. | Winding up can be voluntary or through the National Company Law Tribunal (NCLT). | Can be dissolved based on the partnership agreement. | Can be closed easily without complex legal procedures. |
Why opt for a OPC?
Unlocking Your Business Potential with One Person Company Formation
Limited Liability
Protects personal assets from business debts and liabilities, ensuring financial security.
Ease of Management
Single owner structure simplifies decision-making and management processes.
Separate Legal Entity
Distinct legal identity from the owner, offering credibility and continuity.
Less Compliance
Fewer regulatory requirements and compliance burdens compared to other company structures.
Tax Benefits
Access to various tax benefits and exemptions under Indian tax laws.
Perpetual Succession
Ensures continuity of the company even if the owner passes away or changes.
Minimum Requirements
As Per Company Act 2013, there are Minimum Requirements That Need to be met For OPC Incorporation in India.
Nominee Must be Appointed
Unique bussiness Name
At least one partner must be a resident of India
Registered office address
Documents for OPC Incorporation
To incorporate a One Person Company in India, the following documents are required
Identity & Address of Director
Registered Premises Documentation
Identity & Address of Directors
Scanned Copy of PAN & Aadhaar/Driving License/Passport/Voters ID
Copy of Recent Utility Bills (Not Older Than Two Months)
Scanned Copy of PAN & Aadhaar/Driving License/Passport/Voters ID
Copy of Recent Utility Bills or Bank Statement (Not Older Than 2 Months)
Digital Passport-Size Photo
Email ID & Phone Number
Registered Premises Documentation
Copy of Recent Utility Bills (Not Older Than Two Months)
Scanned Notarized Rental Agreement (English Version)
Scanned No-Objection Certificate from Property Owner
Scanned Copy of Sale/Property Deed in English (For Owned Property)
Copy of Recent Utility Bills or Bank Statement (Not Older Than 2 Months)
Scanned Notarized Rental Agreement (English Version)
Digital Passport-Size Photo
Scanned No-Objection Certificate from Property Owner
Email ID & Phone Number
Scanned Copy of Sale/Property Deed in English (For Owned Property)
Note: The registered office for your business can be a residential address; it does not need to be a commercial space.
OPC Incorporation Procedure
One Person Company Formation Made Easy
Reserving the Company Name is a critical step in the incorporation process
Process:
RUN Service (Reserve Unique Name): File an application in Form SPICe+ Part A for the reservation of the name.Options: You can propose a maximum of two names at a time.Guidelines: The name should be unique and not similar to any existing companies or trademarks.Reservation Validity: The name reserved for the company is valid for a period of 20 days starting from the date it receives approval.Description: The Second step is to obtain a Digital Signature Certificate (DSC) for the proposed Directors of the company. DSC is necessary for electronically signing the e-forms of company incorporation.
Process: DSC can be obtained from government-recognized certifying agencies. The applicant needs to provide a self-attested copy of their identity and address proof.
Validity: DSCs are typically valid for one to three years and can be renewed.
Following the successful reservation of the company name and acquisition of DSCs, the actual incorporation process for a One Person Company (OPC) as per the Companies Act, 2013, begins. This procedure is detailed and requires careful attention to ensure compliance with all regulatory requirements.
Preparation or Drafting of Initial Documents
The foundation of a smooth incorporation process begins with the preparation of crucial documents:
DIR-2 (Consent to Act as Director): A formal declaration by individuals agreeing to serve as directors, outlining their consent and commitment to undertake the roles and responsibilities.
Specimen Signature Card: Used for the Registrar of Companies (RoC) to verify the signatures of the company’s proposed signatories.
Drafting Memorandum of Association (MoA) and Articles of Association (AoA)
Once the initial documents are in place, the focus shifts to drafting two of the most crucial documents for any company:
Memorandum of Association (MoA): This document outlines the scope of operations, objectives, and the framework within which the company operates. It defines the relationship between the company and the outside world.
Articles of Association (AoA): The AoA lays down the rules governing the internal management of the company, including the conduct of its business and the rights and responsibilities of its sole member. These documents must be meticulously drafted to align with the company’s objectives and comply with regulatory requirements.
Filling Out SPICe+ Part B
With the foundational documents and the MoA and AoA ready, the next step involves filling out the SPICe+ Part B form. This critical form gathers comprehensive information necessary for the company’s incorporation, including:
- Company name
- Registered office address
- Capital structure
- Director and subscriber details
Filling this form accurately is essential as it forms the basis of the company’s legal identity.
Completing AGILE-PRO Form
Parallel to the SPICe+ Part B submission, the incorporation process also involves completing the AGILE-PRO form. This form ensures that the company is registered for:
- Goods and Services Tax Identification Number (GSTIN)
- Employees’ State Insurance Corporation (ESIC)
- Employees’ Provident Fund Organisation (EPFO)
- Professional Tax (PT)
- Opening of a bank account
This step ensures that the company complies with various statutory requirements from the outset.
INC-9 Auto-Generation
The final step in the documentation process before submission is:
INC-9: Automatically generated based on the details provided in SPICe+ Part B, this form is a declaration by the sole member and first director, confirming their consent and details as submitted in the incorporation application.
Upon the successful submission of the forms and verification by the RoC, the company is issued a Certificate of Incorporation.
Certificate of Incorporation:
This is a crucial document, serving as proof that the company has been legally constituted and includes the Company Identification Number (CIN) along with the PAN and TAN issued to the company.
Incorporation of a private limited company within 7-14 working days.
Incorporation of a private limited company within 7-14 working days.
Documents Received After Company Formation
Incorporation Certificate                                
Permanent Account Number (PAN) of the company    Â
Tax Deduction Account Number (TAN) of the CompanyÂ
Articles Of Association (AOA)Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Memorandum Of Association (MOA)Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Direction Identification Number (DIN)Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Digital Signature Certificate (DSC)Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Company Master Data                                 Â
Post Incorporation Compliances
Compliances for a One Person Company in India as required by the Ministry of Corporate Affairs (MCA), the Companies Act 2013, and other applicable laws
- Opening of a bank account
- First resolution by the sole director
- Appointment of first auditors (ADT-1)
- Disclosure of director’s interests (MBP-1)
- Filing of INC-22
- Printing of letterhead & statutory registers
- Deposit of subscription money as per MOA
- Allotment of shares (PAS-3)
- Issuance of share certificates
- Payment of stamp duty
Filing of INC-20A to ROC (Declaration for Commencement of Business)
- Maintenance of statutory registers
- Register of members
- Register of charges
- Register of KMP
- Register of loans & advances etc
- Minutes for Sole Director Resolutions
- Managing books of accounts
- Approval of Financials by Sole Member
- Filing of AOC-4, MGT-7A to the ROC
- Filing of Income Tax Return (ITR)
- Filing DIR-3 KYC of Directors to ROC
- Changes in Directorship or Shareholding
- Change in Registered Office (INC-22)
- Alterations in MOA or AOA
- Loans, Investments, & Guarantees (MGT-14)
- Creation or Modification of Charges (CHG-1)
How V Smart Auditor can help ?
Our expert team at V Smart Auditors is committed to making your One Person Company incorporation process as seamless as possible. Here’s what you can expect when you choose us as your partner:
