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End-to-end certification and regulatory compliance for Indian and global markets.

Register your business with ease and stay compliant with Indian regulations. We take care of end-to-end documentation, approvals, and legal formalities for startups, MSMEs, and enterprises.
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One Person Company Registration: Stepwise Process, Benefits & Compliance

  • A One Person Company (OPC) allows sole ownership and management, empowering the entrepreneur to make strategic decisions independently while being accountable to someone else.
  • Offers limited liability which protects the personal assets of the owner from business liabilities.
  • Requires simplified oversight and regulatory compliance as compared to larger companies, resulting in less administration for a single person business.
  • Is deemed a separate legal person with the ability to own property, enter contracts, and sue or be sued in its own right
  • Provides potential for growth including the option to convert to a private limited or public limited company as the need for more capital grows.

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Introduction

A One Person Company (OPC) is a business structure for an individual entrepreneur that combines the attributes of a sole proprietorship with that of a private limited company. The OPC gives the owner the legal right to run the business and limit liability to personal assets. In an OPC, the business is a separate legal identity from the individual owner, which gives the OPC the rights to enter contracts, open bank accounts, and sue or be sued in the name of the company.

An OPC offers an easier compliance burden than other companies, making an OPC an attractive structure for individuals to start a business. The value of an OPC is that it can convert into a private or public company as the business grows. The market will treat the OPC as a company while recognizing its feasibility.

What is One Person Company?

A One Person Company (OPC) is a business organization in India that allows one individual to own, manage, and do business and entails full discretion. An OPC is not the same as a sole proprietorship, but rather is recognized as independent of the individual as a separate legal entity. Thus, the business has limited liability so that it is not against the owner’s personal assets if the company incurs debts or obligations.

The OPC can enter into contracts, hold property, litigate actions in its name, etc. An OPC is the perfect business form for an entrepreneur that wishes to engage in a business form and create to opportunities of a corporate form which has benefits related to arranging, credibility, legal structure, and growth opportunity without the necessities of having shareholders act in managing the organization.

Benefits of One Person Company Registration

  • Limited liability : the covering of personal assets has been broadened with respect to the liabilities of business debts the person incurs and that his liability is only to his investment in the partnership with regards to the other business partners.
  • Legal recognition : means that a company is separate from the owner with a personality under the law. It will have the power to enter into contracts, own property, sue on its own name, and be sued by a third party.
  • Formation is a bit easier when compared to the private limited companies.
  • The sole ownership of an OPC (One Person Company) can be a good option to an individual entrepreneur who wants to start and operate his business without a partner but at the same time possesses all the power and independence.
  • Investment brings in easier finances and catching money through will have so many uses of investors, and also sentence, against any other form of business. 
  • Perpetual succession allows it to remain in existence even in case of death or incapacity of the owner through, say, a nominee director. 
  • Improve credibility : There is more credibility associated with registration to a company than with an unregistered one before customers, suppliers, and all stakeholders. 
  • Tax benefits :  This OPC (One Person Company) can also avail of certain tax benefits and deductions, which are not available for other types of business organization.

Procedure for One person company (OPC)

Step 1 : Get DSC: Digital Signature Certificate

The first step in this entire procedure is obtaining the Digital Signature Certificate, which is compulsory to electronically file any document with the Ministry of Corporate Affairs (MCA).

Step 2 : Apply for DIN 

The next step is obtaining a Director Identification Number, which is needed by every single director of the company.

Step 3: Name Reservation

The name should be given by the owner to the OPC (One Person Company), and this name has to be approved by the MCA. This aims to ensure that the name is not identical to any other existing company.

Step 4: Filing the Incorporation Documents

After a name has been confirmed, it has to be paired with required incorporation documents to be filed with the MCA. These include the Memorandum of Association (MoA) and the Articles of Association (AoA).

Step 5: Certificate of Incorporation Obtain

After such filing of documents above, on successful submission of the MCA, a Certificate of Incorporation is issued by it which formalizes the OPC (One Person Company).

Obtaining a “Diligence Certificate” in reality is a very essential step in setting up your One Person Company (OPC). Think of it like a stamp of approval for compliance with all rules and laws. This increases trust in you and proves that you are sincere with running your business honestly. It is really great when you are applying for funds or collaborating with other businesses to assure them that you are trustworthy and open with your methods.

One Person Company

Documents required for One person company

Cost, Timeline, Validity and Renewal

ParameterDetails
CostAs per government fees and professional service charges
TimelineTypically completed within a few weeks depending on documentation and approvals
ValidityOPC is valid until it is converted into a private or public limited company or closed
RenewalNo renewal required as long as statutory compliance and filings are maintained

Why choose Diligence Certification for One person company (OPC)

  • Expertise and Experience: Eventually, after all these years in the intricate web of business registration and legal compliance, your OPC (One Person Company) registration journey will surely pass smoothly.
  • Complete Assistance- Name approval and incorporation, compliance filing, we have it all in our hands so that you can keep your focus on business. 
  • Custom-Made Services- Each business is unique that has pushed us to develop tailor-made solutions for you in OPC (One Person Company)
    structuring. 
  • Strong in Government Relations: Having very well-maintained relations with MCA, ROC, and other authorities fast-track clearances and compliances. 
  • Quality Check: The accuracy check is on the higher side which guarantees that your OPC (One Person Company) registration is legally compliant and error-free. 
  • Cost-Effective Solutions: Making OPC (One Person Company) registration done at the lowest competitive price with the clearest pricing policy without hidden costs. 

Contact Our Experts

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Frequently Asked Questions

 One Person Company (OPC) is a peculiar form of private limited company where a solitary entrepreneur works with minimal liability while enjoying the status of a corporate entity. This is for independent businessmen who do not wish to depend on other co-partners to obtain legal recognition in the ambit of a company. 

  • Limited Liability – Personal assets are kept secure.
  •  Separate Status of Legal Entity – The OPC (One Person Company) exists independently of its owner.
  •  Facility of Management – Single owner maintains complete control.
  •  Less Compliance Formalities – Lesser paperwork than other Private Limited Companies.
  •  Credibility and Branding – Earns the trust of customers and investors.

For applying for registration as OPC (One Person Company), a person must:

An Indian National and resident in India.

Shall not be a nominee of more than one OPC at any time.

Have a nominee (who will become a nominee in case of incapacity or demise).

Diligence Certifications uses all efforts to smoothen the registration process through: Obtain Digital Signature Certificate (DSC)-For Online Filing. Apply for Director Identification Number (DIN)-A Unique identification No. for the director. Name Reservation (RUN Application)-choice of a unique company name. Filing SPICe+D Form with MCA-submit incorporation documents. 5. Draft MOA & AOA-define company objectives and regulations. 6. Certificate of Incorporation Issued-Business officially registered!

  • PAN Card of Owner
  •  Aadhaar Card or Voter ID
  •  Passport-size photographs
  •  Current bill or rent agreement for the registered office
  •  NOC from the property owner

Generally, the timeline for registration of OPC (One Person Company) varies from 7 to 10 working days concerning document verification and the time taken by the government to process the application. Diligence Certifications promises a very quick and smooth experience.

The fees charged, which are status dependent, include the government's fees and professional fees, which vary with the state of the client. For a fully open business-related estimate about your specific needs, reach Diligence Certifications.

Yes, an OPC (One Person Company) may willfully change into a Private Limited Company after the statutory period of two years from incorporation or may mandatorily change if its turnover exceeds ₹2 crore or paid-up capital exceeds ₹50 lakh.

Of course! An OPC may engage employees like any other business; however, it shall not have more than one director/member unless it converts to a Private Limited Company.