What is One Person Company Registration?
A One Person Company (OPC) is a business structure introduced under the Companies Act, 2013, that allows a single Indian citizen and resident to form a private limited company. It gives the sole owner full control while offering limited liability, separate legal status, and perpetual succession.
OPCs must appoint a nominee who will take over if the owner is incapacitated or dies. Combining the simplicity of a sole proprietorship with limited liability, an OPC has a single owner who acts as both shareholder and director, with a nominee appointed for succession.
Benefits of One Person Company Registration
- Complete Control: The sole owner has full control over decisions.
- Limited Liability: Protects personal assets from business debts.
- Separate Legal Entity: The company can own assets and sue/be sued in its own name.
- Perpetual Succession: The company continues to exist via the nominee.
- Easier Funding: Easier to raise capital compared to a proprietorship.
- Credibility: Enhances trust with clients and vendors.
Eligibility for OPC Registration
- Natural Person: Only a natural person (not a company) can form an OPC.
- Indian Citizen: Must be an Indian citizen.
- Resident: Must be a resident in India (stayed in India for at least 120 days in the preceding financial year). NRIs can also form OPCs now if they meet this criteria.
- One OPC Only: A person can be a member of only one OPC at a time.
- Nominee: Must appoint a nominee who is also an Indian citizen and resident.
Documents Required
For Member/Director & Nominee
- PAN Card (Mandatory).
- Aadhaar Card.
- Passport/Voter ID/Driving License.
- Latest Bank Statement/Utility Bill (not older than 2 months).
- Passport-sized Photograph.
For Registered Office
- Proof of ownership (Sale Deed) OR Rent Agreement with NOC from owner.
- Latest Utility Bill (Electricity/Gas/Water) of the premises.
How to Register a One Person Company in India?
- DSC & DIN: Obtain Digital Signature Certificate (DSC) and Director Identification Number (DIN).
- Name Approval: Apply for name reservation via SPICe+ Part A. Name must end with "(OPC) Private Limited".
- Documentation: Draft MOA, AOA, and obtain Nominee Consent (Form INC-3).
- Filing: File SPICe+ Part B along with Agile Pro (for GST, EPFO, ESIC, Bank Account).
- Incorporation: ROC verifies documents and issues the Certificate of Incorporation (COI) with PAN and TAN.
Fees & Time
Time: The entire process typically takes 7-10 business days, subject to government processing time.
Fees: Costs involve Government Filing Fees (based on capital), Stamp Duty (state-specific), DSC fees, and Professional fees.
Compliance After Registration
- Board Meetings: At least one meeting in each half of the calendar year, with a gap of at least 90 days.
- Auditor Appointment: First auditor within 30 days of incorporation.
- Annual Filing: File AOC-4 (Financials) and MGT-7A (Annual Return).
- Income Tax: File ITR annually (Form ITR-6).
- Commencement of Business: File Form INC-20A within 180 days of incorporation.
