One Person Companies

The Companies Act, 2013 has  paved the way for introduction of  One Person Company (OPC)  in Indian  corporate world which it was eagerly waiting for.  It is a legally sanctioned and chartered form of a Proprietary Business with limited liability to its sole shareholder. A resident individual who is an Indian citizen is entitled to start  a One Person Company (OPC)  with the name and objectives which he chose. It is a separate legal entity different from its sole promoter with  limited liability.

Incorporation of  One Person  company

1.Formation of One Person Company

1. An individual is permitted to register 1 (one only)  One Person  company
2. An individual should be nominated as his/her legal nominee
3. Both persons should be resident in India

Only a natural person who is an Indian citizen and resident in India-

(a) shall be eligible to incorporate a One Person Company;

(b) shall be a nominee for the sole member of a One Person Company.

2. Formalities in incorporation

Incorporation is doing at the  Central Processing Centre of Ministry of Corporate affairs at Gurgaon and will be under the  jurisdiction of  Registrar of Companies of the State where the registered office is situated.

Incorporation is comprised of following

A. Name Application and Approval

 For obtaining the desired name for the company to incorporate,  we have to apply to the ROC in specified form Spice+ and the processing may take 1 to 3 days and cost involved is  Rs. 1000/- subject to the availability of name.

B. Obtain Digital signature

    Since all the filing to the Registrar of companies is through on line, one of the promoter should obtain a Class 3 Digital signature which costs Rs.2000/-. The application for DSC is  online and process is involved mobile Email and video verification. On successful verification of application the applicant will get DSC in a secure device called E Token

C. Submission of Composite Incorporation documents for obtaining Certificate of incorporation and  DIN

Next step involved is preparation and submission of  incorporation documents like memorandum of association and  articles of association online portal of the Ministry of Corporate affairs

The following documents are required for online submission

For Director/shareholder/Director cum shareholder

1. Dir 2- Consent to become the director of the Company
2. INC 3- Consent to become the nominee of the sole member
3. Pan Card Copy
4. ID proof like passport copy, Aadhar card, Driving Licence or Voters ID
5. Latest Address proof like mobile bill, telephone bill, electricity bill or bank statement. The proof should not be older than 2 months

For Registered office Address

1. for the Registered office address, NOC from the owner of the premise or rental agreement copy along with latest copy of Electricity bill or Water bill or utility bill or Property tax paid receipt  is also required to be filed along with incorporation documents

The new directors will get DIN Number and  Certificate of incorporation will be issued  in 1 to 3 days. At the Completion of registration of the company, the Ministry will issue the Incorporation certificate along with PAN Card and Tan Number

Thus for incorporation of an OPC, it  may take 4 to 7  days from the date of submission of proper documents for the registration of the Company.

D. Submission of AGILE Form for obtaining GST Registration ESI, EPF Professional Tax and Bank account opening

 The Incorporation document comprise a mandatory online application form for applying for GST Registration ESI, EPF Professional Tax and Bank account opening.

GST registration is optional but other registrations are automatic. The applicant can select the Bank with whom they want to open their bank account in the Form Agile

 E. Spice+ and AGILE form for Name application, DIN Approval  and Filing of Incorporation Document and for Other Registrations

The Ministry has recently introduced a Composite form for filing DIN application, Name approval and Incorporation Documents, GST and other registration. If we are very confident about  the  name we can use this form for registration of company  which will help to register the company with 4-7 days

3. Post Incorporation Compliances

After the Company is registered the Company is required to  file INC form 20 A for  commencement of business and to exercise borrowing powers. The subscribers has to deposit the subscription amount before filing the said form.

4. What we do:

• Consulting  services to select the most suitable form of organization, based on the business needs and objectives.
• Incorporation of One Person Company (OPC), Drafting MOA and AOA as per the requirement.
• Getting  all the needed registrations, approvals and licenses for  the commencement of operations like PAN, TAN, &  GST  and other Registrations
• Registration as Startup  under Start Up India, an initiative of Department for Promotion of Industry and Internal Trade, Government of India
• Ensure  compliances with various corporate laws such as Companies Act, LLP Act and other Company Legislations   Foreign Exchange Management Act, Foreign Trade, Securities laws, Labour Laws and other  applicable laws.
• Getting the required approvals from Public bodies and Local authorities like Trade license, Shops and Establishment Registrations, Food license, Environmental Law approvals, MSME/UDYAM Registration with Ministry of  Micro, Small and Medium Enterprises (MSME) and SSI Registration

If you want our support for registering a One Person Company in a cost effective and professional way

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