What is One Person Company?

One Person Company(OPC), its modern proprietorship firm. OPC can be formed by a single person The One person company is juristic, and liability of members is limited to their shares. OPC gives a single director to enjoy full control over the business. if an One Person company cross an average turnover of over Rs. 2 crore over three years or has a paid-up capital of over Rs. 50 lakh, mandatorily to be converted into a private limited company or public limited company within 6 months.

 

Advantage of One Person Company

Limited Liability

Liability of Directors of the one person company is limited to their shares. It means that if the company suffers from any loss and faces financial distress because of primary business activity, the personal assets of shareholder / Member / Director will not be at risk of being seized by bank, creditors, and government.

 

Continuity of existence

The life of a business is not affected by the status of shareholders and even after the death of the shareholder, the OPC continues to exist.

 

Credibility

OPC books & accounts audited annually, it has greater credibility among vendor, customers, employees, and bakers.

 

Documents Required

  1. From All Directors and Shareholder.
  2. PAN Card or Passport or Election ID Card
  3. Latest Bank Statement/Telephone or Mobile Bill
  4. Voter’s ID/Passport/Driver’s License
  5. Passport-sized photograph of all directors and shareholder
  6. Scan copy of Signature (signature should same as on PAN Card)
  7. Scanned copy of Notarized Rental Agreement
  8. For Proposed Registered office (Residential or commercial)
  9. Any Utility bills
  10. Scan copy of Rent agreement with NOC from owner