One Person Company (OPC) Registration: A Complete Guide

A One Person Company (OPC) is a unique form of business structure introduced under the Companies Act, 2013, allowing a single individual to operate as a company while enjoying limited liability and legal protection. It is an ideal choice for solo entrepreneurs who want the benefits of a corporate framework.

Benefits of OPC Registration

  1. Limited Liability:
    Protects the owner’s personal assets from business liabilities.

  2. Separate Legal Entity:
    OPC is distinct from its owner, allowing it to own assets and incur liabilities.

  3. Single Ownership:
    Enables an individual to enjoy full control of the company without the need for partners.

  4. Easy Compliance:
    OPC has simplified compliance requirements compared to private limited companies.

  5. Perpetual Succession:
    The company continues to exist even after the owner’s demise, with a nominee taking over.

Eligibility Criteria for OPC Registration

  1. Individual Ownership:
    Only a natural person who is a resident of India (stayed for at least 182 days in the previous financial year) can form an OPC.

  2. Nominee Requirement:
    The sole owner must appoint a nominee who will take over in case of their incapacity or demise.

  3. Restriction on Membership:

    • One person cannot incorporate more than one OPC.
    • An OPC cannot be a member of another OPC.

  4. Business Limitations:

    • OPCs cannot engage in Non-Banking Financial Activities (NBFC).
    • It must convert into a private limited company if turnover exceeds ₹2 crores or if paid-up capital exceeds ₹50 lakhs.

Documents Required for OPC Registration

For the Director and Nominee:

  1. PAN Card (mandatory).
  2. Aadhaar Card or Voter ID (proof of identity).
  3. Passport-size photographs.
  4. Residential proof (utility bill, rent agreement).

For Registered Office:

  1. Utility bill (electricity, water, or property tax receipt).
  2. NOC from the owner (if the office is rented).

Other Documents:

  1. Consent of the nominee (Form INC-3).
  2. MOA (Memorandum of Association).
  3. AOA (Articles of Association).

Step-by-Step Process for OPC Registration

  1. Obtain Digital Signature Certificate (DSC):

    • The director and nominee must obtain their DSC for online filings.

  2. Apply for Director Identification Number (DIN):

    • Obtain DIN for the proposed director by filing Form DIR-3.

  3. Name Reservation (RUN Form):

    • Propose a unique name for the OPC and apply for name approval through the Reserve Unique Name (RUN) service on the MCA portal.

  4. Draft MOA and AOA:

    • Prepare the Memorandum of Association (MOA) and Articles of Association (AOA), defining the company’s objectives and operational rules.

  5. File Incorporation Forms:

    • File the SPICe+ (Simplified Proforma for Incorporating a Company Electronically) form along with INC-3, MOA, AOA, and other required documents.

  6. Verification and Approval:

    • MCA verifies the application and, upon approval, issues a Certificate of Incorporation (COI) along with the Company Identification Number (CIN).

  7. PAN and TAN:

    • The PAN and TAN of the company are automatically issued along with the COI.

Compliance Requirements for OPC

  1. Annual Returns:
    File annual returns with the Registrar of Companies (ROC) using MGT-7A.

  2. Financial Statements:
    File financial statements in AOC-4 within six months of the end of the financial year.

  3. Income Tax Filing:
    File annual income tax returns using ITR-6.

  4. Board Meeting:
    OPC must hold at least one board meeting every six months.

Why Choose AK Mehta & Associates for OPC Registration?

  1. End-to-End Support:
    From documentation to filing, we handle the entire registration process seamlessly.

  2. Expert Consultation:
    Receive personalized guidance to ensure your OPC complies with all regulations.

  3. Quick and Hassle-Free:
    With our expertise, we ensure your OPC is registered swiftly and without errors.

  4. Post-Incorporation Assistance:
    Assistance with compliance filings, GST registration, and more after incorporation.

Contact Us Today

Establish your One Person Company with ease! Let AK Mehta & Associates handle your OPC registration, compliance, and beyond.

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