The concept of One Person Company [OPC] is a new vehicle/form of business, introduced by The Companies Act, 2013, thereby enabling Entrepreneur(s) carrying on the business in the Sole-Proprietor form of business to enter into a Corporate Framework. OPC is a hybrid of Sole-Proprietor and Company form of business, and has been provided with concessional/ relaxed requirements under the Act.
Only an Indian resident can become shreholder for an OPC.
No, NRI or Foreign National cannot be a shareholder for an OPC.
OPC is allowed to have only one shareholder. Further, a nominee is needed.
An individual can form only one OPC at a time. This rule also applies to the nominee.
OPC has to compulsorily convert itself into private limited company or public limited company, incase
paid-up capital is more than Rs. 50 lakhs or, the annual turnover exceeds Rs. 2 crores.
OPC is a private limted company hence there is no minimum paid-up capital requirement and hence no burden of putting in such a large amount, as previously required, into the company bank account. This amount can be introduced as per the convenience of the business owners.
Yes, OPC needs to do annual filling with ROC each year. Further it has to must maintain books of accounts to comply with statutory audit requirements and submit income tax returns.
No, you needn’t be available in person, OPC incorporation process is online. A scanned copy of documents can be sent to us via mail, and we will handle the rest
Minimum one and maximum 15 directors are required for an OPC and there can be even more than 15 directors after passing Special Resolution.