One Person Company is commonly abbreviated as OPC which has a single share owner who possess 100% stakes of the respective company and thus, it allows a sole person to manage all business affairs on its own in order to reap several advantages.
It is pivotal to understand that OPC is classified as a Private Company by Section 3 for all the legal affairs with a sole member. One Person Company Registration and its operations are controlled by the Indian Companies Act, 2013.
Moreover, in OPC it is important and compulsory to appoint a Nominee, who will run the business in case the owner is unable to handle business or is dead at any point of time.
However, OPC possess a status of Separate Legal Entity which ensures that the entity is detached from the owner, unlike a proprietorship firm.
OPC can enter into a contract with any party by owning the assets in its own name and the actions of the company are independent of the possessor.
Also, many Compliances get exempted in the One Person Company (OPC) making the process easier.
One of the biggest advantage of OPC is that the liability and commitments are not imposed over the personal assets of the sole member. Except in specific situations, the personal assets of the member are still secured even in the case of liquidation.
Even if the OPC is possessed by a Single owner, he can appoint a director to run a company smoothly by assigning several operational duties and in turn can reap profits channeling training towards added businesses.
List of Documents Required
To get your One Person Company Registration done, one needs to submit the following documents, such as –
- Self-attested copy PAN for all subscribers
- Self-attested copy of Identity Proof like – Voter Id / Driving License / Passport (Any One)
- Self-attested copy of Mobile Bill / Telephone Bill / Bank Statement latest 2 Months (Any One).
- Passport Size Photo
- Email Id
- Mobile Number
- Educational Qualifications
- DIN if already holding Directorship in any company
- State where the registered office of the company will be situated
- Proposed Share Holding Pattern
- Proposed Share Capital Authorised and Paid Up
- Copy of Electricity Bill as a Proof of Registered Office of the Company.
The Complete Process shall take 7-10 Working Days from the date of the Receipt of all the required documents.