Under the company’s Act 2013, the new concept has introduced of OPC. One Person Company is a private legal entity registered with a single person. A single person is the company’s shareholder and sole owner. This concept is introduced in India that helps people to start the business without any hassle. OPC means the organization which has one person as the member.
In the private company, minimum 2 members and 2 directors are needed while in the public company minimum of seven members and three directors are required. But as per Section 2(62) of Company Act 2013, a single person can start the company in India. SPICe (Simplified Proforma for Incorporating Company Electronically) Incorporation is the integrated single point application for the organization, DIN for the director, company incorporation with the TAN and PAN to the company.
One person company- SPICe Requirements
1. Director :
At least one director is required for OPC registration and an only a single person is designated as the company directors. More than one director cannot be a shareholder in the OPC. The Government of India, Ministry of corporate affairs provides DIN to the company director.
2. Company name
OPC name shall end with the OPC (Private Limited Company). The planned name of the company shall meet the terms with the guidelines of Company name availability under the law of Company Act 2013. There are different methods for selecting the name for a new organization such as by filing RUN or name reservation along with incorporation.
3. Shareholder
The one-person company can have 1 shareholder only. The shareholder must execute the article of association and memorandum of association for registering the firm. The Indian citizen can register the limited company under the company act 2013. OPC is classified as a private limited company. At the same time, One-person Company cannot have more than 1 shareholder.
4. Documentation
When you are registering one person company you should submit the document with the required documents. Here you can get the list of documentation needed for registration:
- Nominee shareholder
At the time of the One Person Company incorporation, you should provide the nominee shareholder with her or his previous written consent to become the company member. If the subscriber was death the nominee can able to manage the business shares. Only the person is the Indian citizen can become Nominee for OPC sole member.
Process of One-Person Company Registration
The OPC registration is very simple. From the comfort of the home, you can register for the one-person company online. You can follow the below-given steps to register the OPC.
• Apply for a digital signature certificate
• Apply for the director identification number
• Application of Name Approval
• Document required
• Filling the application form with the MCA
• Finally issuing of Incorporation certificate.