One Person Company (OPC) is a Company which has only one member as a director. It shall also be important to note that Section 3 classifies OPC as a Private Company for all the legal purposes with only one member. All the provisions related to the private company are applicable to an OPC, unless otherwise expressly excluded A one person company(OPC) can be formed by anybody with a minimum capital of Rs. 1 lakh and it is necessary to mention the words ‘One Person Company’ in brackets under the name of the company, wherever its name is used for any purpose. The owner will be the director of the company and he need not conduct any Annual General Meetings (AGM). As Per Government of India Guideline, the owner at the time of registering OPC needs to nominate a person who will be incorporated as the next owner in the event of his death.
Under the Government of India act a Single Person Company is a legal entity and a juristic person. So a One Person Company form of organization has wide legal capacity and can own property and also incur debts. The members (Shareholders/Directors) of a company have no liability to the creditors of a One Person Company for such debts
A Single Person Company has ‘perpetual succession’ like other form of comapnies, One Person Company is continued or uninterrupted existence until it is legally dissolved. An Single Person Company, controlled by a separate legal person, is not affected by the death or other natural departure of any member but continues to be in existence irrespective of the changes in membership.
An One Person Company enjoys borrowing of funds more betterly. Single Person Company can issue debentures, secured as well as unsecured and can also accept deposits from the public, etc under the act of Indian Government. Even banking and financial institutions prefer to support large financial assistance to a One Person Company rather than partnership firms or proprietary concerns.
Choose best suited entity for your business and get your Company registered with the MCA.
Basic partnership deed drafting by a Lawyer.
Partnership deed drafting by a Lawyer along with deed registration.
Proprietorship registration with TAN registration, MSME under Udyog Aadhaar and trademark filing. Inclusive of government fee and service tax.