What number of individuals is needed to incorporate an OPC?
To Incorporate a One Person Company, a Director and a nominee is required.
The much Capital is needed to incorporate an OPC?
An OPC can be incorporated with any measure of Capital. Nonetheless, for giving least offers worth Rs. 1 lakh expenses should be paid to the Government (Authorized Capital charge) during the fuse of an OPC.
What amount of time it will require to consolidate an OPC?
You can incorporate an OPC effectively in 7-15 days. Likewise, note that the time taken for Incorporation will rely upon the submission of the important documents by the client and furthermore approval from the Government authorities.
Is it important to have an office to begin an OPC?
Address of the enrolled office of the OPC will be needed as the premises will get the correspondence from MCA.
What is the validity of the Incorporation?
After joining, the Company will be dynamic as long as the yearly Compliances are met routinely.
Who is Eligible for OPC Company?
A person who is an Indian resident and inhabitant in India is qualified to go about as a part and nominee of an OPC.
What are the Benefits of Incorporating an OPC?
OPCs have the accompanying advantages
- It is viewed as a separate legal entity.
- The liability of the members is limited.
- OPCs allow the Transferability of offers.
- Tax flexibility and Savings
- One single owner has control over the Company
- The business gets a legal status and Recognition for the business.
OPC in India
Dr. Jamshed. J. Irani in his report on Company Law dated 31st May 2005 presented the idea of One Person Company in India.
In the report, Dr. Irani suggested that with the always expanding utilization of Information Technology and the rise of a solid assistance area in India it was headed for the public authority to enable the business people who are equipped for making imaginative thoughts and taking part in the commercial center.
Dr. Irani proposed that imaginative business people should not be made to do through a relationship of people and ought to have the option to make a solitary individual financial element as One Person Company.
Further, such a substance might be furnished with a straightforward system through exceptions so a solitary business visionary isn’t constrained to disperse his energy and assets on procedural issue.
Subsequently, the idea of ‘One Person Company’ was presented in the Companies Bill 2013, with the endorsement from Lok sabha on eighteenth December 2012 and in Rajya Sabha on 8tH of August 2013.
At long last, in the wake of acquiring the consent of the President of India on 29th of August 2013, it has become the Companies Act, 2013.
Why prefer One Person Company?
Here are some significant benefits of One Person Company:
- For fusing an OPC only one individual is required and that is the most prevalent component of an OPC. Henceforth, we can say that it’s anything but an enlisted type of sole ownership. One individual is liable for dynamic, controlling, and dealing with the undertakings.
- As it’s anything but an enlisted type of business substance it appreciates similar advantages as a Private Limited Company. The lawfulness of this sort of business structure makes it mainstream among banks and monetary foundations
- An OPC can profit different advantages appreciated by limited scope ventures like advances are accessible at a lower financing cost.
- Any compensation made to the chief will be permitted under derivation under Income Tax Law, in contrast to Proprietorship. Additionally, the advantages of Presumptive Taxation are accessible dependent upon Income Tax Law.
- A business person can face more challenges without worrying about the deficiency of resources as an OPC has restricted responsibility. This is a kind of consolation to new, youthful, and inventive business new companies.
- All Companies are needed to hold yearly comprehensive gatherings notwithstanding different gatherings yet One Person Company is excluded from this. The Resolution endorsed by the Director and entered in the minutes book is adequate, rather than the yearly regular gathering.
- Each Company is needed to get ready and record proclamations that incorporate the asset reports, Profit and misfortune account, income articulation, proclamation of changes in value, and logical notes. On account of an OPC, an income articulation isn’t needed.
How to enlist a One Person Company in India?
Prior to understanding the Registration cycle for an OPC let us rapidly go through the different sorts of organizations that can be shaped. An organization can be set up for the legitimate reason by the accompanying number of individuals
- One Person Company if there should arise an occurrence of an Individual
- A Private Limited Company if there should arise an occurrence of at least two individuals
- When there are at least seven individuals a Public Limited Company is shaped
An OPC has certain limitations with regards to joining, in contrast to a Private Limited Company. Consequently, prior to starting with the OPC enrollments it is fundamental to comprehend the cutoff points to guarantee the advertiser is qualified according to the Companies Act to enlist an OPC.
- Legal entities like Company or LLP can’t join an OPC.
- During joining, a candidate should be delegated by the advertiser.
- Business associated with monetary exercises can’t join as an OPC
- At the point when the settled up capital offer surpasses Rs.50 lakh and the turnover gets over Rs.2 crore an OPC should be changed over into a Private Limited Company.
An individual anyway can’t join more than one OPC. Additionally, an OPC is denied for having a minor as its part.