Summary
We at VGC can help you register your company.
One Person Company in India is a concept that has been introduced with the Company's Act 2013. One Person Company in India is incorporated by a single person. Before the enforcement of the Companies Act 2013 a single person was not able to establish a company. Now, you can register your company without involving any other person in the form of Private Limited Company.
According to section 2(62) of Companies Act 2013 One-person company means a company which can be formed by just one director and one person. At the time of incorporation, the Memorandum of Association must name a nominee for the sole member of an OPC. The minimum number of directors for an OPC is also one but you can always increase the number of directors. Here an individual who may be a resident or Non-resident Indian can register an OPC in India.
Documents
Documents Required for One Person Company Registration
A.) IDENTITY PROOF AND ADDRESS PROOF
Identity Proof and Address proof is required for all the proposed shareholder, director and nominee. Identity proof will be pan card in case of Indian nationals and passport in case of foreign nationals with voter id, passport, driving license. One address proof is required from following latest bank statement, telephone or mobile bill electricity or gas bill.
B.) Contact Details
E-mail id and mobile number are required of proposed company. Further, mobile no. and e-mail id are also required of all proposed directors. The mobile no. and e-mail id of directors should be their personal mail and mobile number.
C.) Registered Office
No Objection Certificate (NOC) from the owner, Utility bill (should not be older than two months) and Notarized Rent agreement (in case of rented property)/ Registry Proof or House Tax Receipt (in case of owned property).
D) Draft Documents for incorporation
Finally, based on the above documents provided we prepares the drafts documents which are required to be submitted to MCA. You are not required to visit any place and we will complete the company registration procedure at the comfort of your home as the process is completely online. We make it as simple Company Registration process for you.
Procedures
We at VGC, having dedicated team for registration of companies anywhere in India. Recently, the MCA changed the Incorporation procedure to include DIN allotment, Issuance of PAN, TAN, GST, EPFO, ESIC, and Profession Tax (only in Maharashtra). Further, for incorporation of company it requires legal procedure and legal knowledge as it also require attestation by a Professional who must be either Company Secretary or Chartered Accountant or Cost Accountant. The registration is done through Spice+ which has basically two parts:
PART A
Name Reservation
PART B
- Company incorporation
- PAN Application
- TAN Application
- GSTIN Application
- Application for DIN
- EPFO Registration
- ESIC Registration
Characteristics
Benefits & Characteristics of One Person Company
1. Single-member:
OPCs can have only one member or shareholder, unlike other private companies.
2. Nominee:
A unique feature of OPCs that separates it from other kinds of companies is that the sole member of the company has to mention a nominee while registering the company.
3. Minimum one director:
OPCs need to have minimum one person (the member) as director. They can have a maximum of 15 directors.
4. No minimum paid-up share capital:
Companies Act, 2013 has not prescribed any amount as minimum paid-up capital for OPCs.
5. Special privileges:
OPCs enjoy several privileges and exemptions under the Companies Act that other kinds of companies do not possess.
OTHER KEY BENEFITS OF OPC
1) Limited Liability
One of the key benefits of setting up as a one person company is limited liability. One of the benefits of OPC is that it has more chances, has limited liability since the liability of the One Person Company is limited to the extent of the value of the share, and the individual can take more risk in business without distressing or suffering the loss of any personal assets. It is a type of encouragement to new, young and innovative business start-ups.
2) Separate Property/ Separate Legal Entity
The separate legal entity feature gives your company to keep yourself and the company at length recognizing its own separate identity. It can sue and be sued in its own name, i.e. company name. There is a separation of management and ownership.
3) Perpetual Succession
This is what makes the registered OPC different from proprietorship where on the death of proprietor, the firm ceases to exist but in case of registered company, even the death of director(s)/shareholder cannot stop the company to exist.
4) Free and easy transferability of shares
Shares of a company limited by shares are transferable by a shareholder to any other person. The transfer is easy as compared to the transfer of an interest in a business run as a proprietary concern or a partnership. If all or any of the shareholders wish to exit from the company, they can do so by simply transferring their shares.
5) Easy Funding
If a company is a private limited company; One Person Company can raise funds using venture capital, angel investors, financial institutions etc. Any OPC can raise funds thus graduating itself to a private company.
6) Easy to Incorporate
With the introduction of the SPICe+ application for company registration, the process of incorporating an OPC has become completely online. This has drastically reduced the time and effort that goes into the application process. The SPICe+ application is quite wholesome and provides end-to-end services for company formation. The application is divided into two parts, where the first part can be used to apply for name reservation of the OPC, and the second part can obviously be used for OPC registration. Apart from registration, the form also contains various linked applications for EPF registration, ESI registration, company PAN and TAN, and opening a current bank account in the name of the OPC.