One Person Company

OPC Registration FAQ’s

1. What is a OPC company?

OPC is a new concept introduced with the Company’s Act 2013, which combines the advantages of a sole proprietorship with those of a company. It is owned and managed by a single person.

2. What are the benefits of OPC company?

OPCs are perfect for small firms because they are simple to set up and run, need little maintenance, and provide superior operational control and tax benefits.

3. Why is OPC superior to private limited companies?
A One Person Company (OPC) is the ideal combination of a Limited Liability Partnership and a Private Limited Corporation (LLP). It combines both the flexibility of an LLP and the limited liability advantages of a Pvt Limited.

4. What is a dormant company?

If the yearly compliances are not satisfied, the company becomes dormant and may eventually be struck off. A struck firm may be resurrected for up to 20 years.

5.What is DSC?
In the course of electronically filing the document, the DSC confirms the sender’s or signer’s identity. Many application documents must be signed by the Directors using their digital signatures in accordance with the MCA.

6.How can I find my director identification number?
Every current and potential directors of a company are given a unique identification number, which is called a UIN. A Director Identification Number is required for each prospective director. A person may only have one DIN, and it never expires.

7. Is the OPC superior to a Private Limited Company?
OPC is a company that exists independently and is owned by just one member. The business structure of one person is a hybrid of sole proprietorship and corporation.

8. Is OPC required to audit?
A statutory audit for the OPC is required. A CA must be chosen by a firm to serve as its auditor. The auditor must examine the financial records and publish a Statutory Audit report.

9. Is GST required for OPC?
Regardless of yearly sales, Person Companies must register for GST if they are supplying products or services in another state.

10. Can OPC generate revenue?
Financial institutions and venture capital are two ways that an OPC might raise money. A private limited company conversion is another way for an OPC to raise money.

11. What distinguishes single proprietorships from OPC?
In a Person Corporation, a single person manages a limited liability company, but in a Sole Proprietorship, the owner and the firm are seen as one and the same.

12. Is holding an annual general meeting required for the OPCs?
All entities must hold an Annual General Meeting each year, with the exception of OPCs.

13. What is the role of a Nominee in an OPC?
A nominee is an individual who becomes a member of the company in case of the promoter’s death or incapacitation.

14. What is the authorized capital fee?
Authorized Capital of a Company is the number of shares a company can issue to the shareholders. A Company is required to pay the Government an authorized capital fee to issue shares.

15. How may the incorporation process be sped up?
For a rapid incorporation, make sure the name you select is distinct and that you have all the necessary documentation.