How to register OPC With Legalbae

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Frequently
Asked Questions

A One Person Company or OPC is a type of business entity in which there is exactly one member. One Person Company opens up new business opportunities for sole proprietors and entrepreneurs who also wish to enjoy the advantages of corporate wold with limited liability, and a separate legal entity. As per the Section 262 of Companies Act of 2013, official registration of a one person company in India is legal. Registering a One person company in India requires a single director/member representing the whole concern. This corporation type has very few compliance requirements in comparison with a private corporation.

There is no such requirement to form a One Person Company.

The most important difference between a One Person Company and a Sole Proprietorship Concern is that a One Person Company is a separate legal entity, which means liabilities of the company will be not be the same as the liabilities of the Directors, Shareholders and Promoters. Also a One Person Company can issue shares to its shareholders and can raise funds from investors.

To be eligible for a One Person Company registration in india, one should meet the following criteria:

  • At least two directors are required to form an a One Person Company.
  • Must have a proper business address.
  • Must have a Unique Name which should not match with any existing companies or trademarks in India.

Auditing of a One Person Company in India is mandatory no matter what its revenue is. In fact, an auditor must be appointed within 30 days of incorporation. Compliance is important with a private limited company, given that penalties for non-compliance can run into lakhs of rupees and even lead to the blacklisting of directors.

Yes! of course. As long as you have authorization to do business from your Home Office, you can register a One Person Company there.

Sure you can. A lot of businesses and firms are getting registered in a Virtual Office. It is pretty much common among Freelance Software Engineers and Professionals.