Get clear answers to frequently asked questions about proprietorship setup, benefits, legal formalities, and compliance—so you can start your business in India with clarity and confidence.
Apply for One Person Company in India
- Single Ownership with Limited Liability
- Separate Legal Entity
- Less Compliance Burden
One Person Company (OPC) Registration
A One-Person Company (OPC) is an ideal business structure for individuals seeking limited liability and a separate legal identity while retaining complete control. This model allows a single person to run a business as a company, combining the simplicity of a sole proprietorship with the protection of a private limited company. In an OPC, one individual acts as both the director and shareholder, making it a preferred choice for solo entrepreneurs.
At India Company setup, we make the OPC registration process easy and hassle-free. Our knowledgeable team ensures that every stage—from document collection to final submission—is managed smoothly and in compliance with legal requirements. With our affordable OPC registration fees and expert assistance, launching your own company has never been easier.
Get in touch today and start building your business future!
Introduction to One Person Company (OPC)
The concept of a One Person Company (OPC) was introduced under the Companies Act, 2013, allowing a single individual to form a company while enjoying the benefits of both a sole proprietorship and a corporate entity. This innovative business format was created to promote entrepreneurship and formalize Micro, Small, and Medium Enterprises (MSMEs).
According to Section 2(62) of the Companies Act, 2013, an OPC can be formed with just one member and one director—who may be the same person. Essentially, OPC registration gives a solo entrepreneur the ability to start a limited liability company in India. Below is a detailed explanation of the eligibility and steps involved.
Eligibility Criteria for OPC Registration
Before initiating the OPC registration process, it’s important to understand the regulatory requirements that govern its formation:
Indian Citizen/NRI (Natural Person): As per the Companies (Incorporation) 2nd Amendment Rules 2021, only natural persons who are Indian citizens—whether resident or non-resident—can incorporate an OPC. A “resident in India” is defined as someone who has stayed in the country for at least 120 days during the previous financial year.
Minimum Authorized Capital: A minimum authorized capital of ₹1,00,000 is required, which must be stated in the capital clause of the company’s MOA.
Nominee Requirement: The promoter must nominate a person who will take over the company in the event of their death or incapacity.
Business Restrictions: OPCs cannot operate in sectors like banking, insurance, or financial investments.
Mandatory Conversion: If the paid-up capital exceeds ₹50 lakhs or the annual turnover surpasses ₹2 crores, the OPC must be converted into a private limited company.
Other Limitations: Only one OPC can be formed by a single person, and minors are not allowed to become members.
Benefits of One Person Company (OPC)
OPCs provide several advantages, including:
Separate Legal Entity: The company is legally distinct from its owner, ensuring limited personal liability.
Easier Fundraising: OPCs are better positioned than sole proprietorships to attract funding from investors and banks.
Lesser Compliance Burden: OPCs are exempt from several compliance requirements under the Companies Act, 2013.
Simple Setup: Only one member and one nominee are required, and there’s no minimum paid-up capital, making the setup easy.
Faster Decision-Making: With just one decision-maker, operations and strategic decisions can be handled efficiently.
Perpetual Succession: The company continues to exist even if the sole member is incapacitated or deceased.
Drawbacks of OPC
Despite the many advantages, OPCs also come with certain limitations:
Limited to Small-Scale Operations: Since only one person can own an OPC, scaling up through capital infusion can be restrictive.
Business Activity Restrictions: OPCs cannot engage in certain regulated sectors like financial services or charitable work.
Overlap in Management and Ownership: Since the owner and manager are the same, it may lead to ethical dilemmas or conflicts of interest.
Documents Required for OPC Registration
To complete the registration process, the following documents must be submitted to the Registrar of Companies (RoC):
Memorandum of Association (MoA)
Articles of Association (AoA)
Nominee’s consent (Form INC-3), along with PAN and Aadhaar
Proof of the registered office address
Director’s declaration (Form INC-9) and consent (Form DIR-2)
Professional certification declaring compliance with legal formalities
OPC Registration Process in India
OPC registration is conducted through the MCA’s SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) portal, which integrates multiple services into one streamlined process.
Part A: Name Reservation
This part includes applying for the desired company name and obtaining the DIN or PAN for the director.
Part B: Incorporation Filing
Here, all key details—such as company address, capital, director info, and nominee—are submitted for review.
Steps to Register an OPC:
Get a Digital Signature Certificate (DSC):
Required for digitally signing application documents.
Apply for Director Identification Number (DIN):
Obtain the DIN from the MCA for the intended director.
Name Approval:
Submit Form SPICe+ (Part A) to reserve a unique company name.
Draft MoA and AoA:
Clearly outline the company’s objectives and governance rules.
File Incorporation Forms:
Submit all required forms and attachments, including MoA, AoA, declarations, proof of office, and nominee details.
Receive Certificate of Incorporation:
Once verified by the RoC, a Certificate of Incorporation is issued, and PAN & TAN are generated automatically.
Why Choose India Company Startup for OPC Registration?
India Company Setup is your trusted partner for OPC registration online. With deep industry knowledge and a client-first approach, we simplify the process for new entrepreneurs. Our affordable OPC registration packages offer outstanding value while ensuring full compliance with legal norms.
From name approval to documentation and submission, we offer expert support every step of the way. Our team is always available to resolve your queries and provide timely updates. With a commitment to transparency and professional excellence, India Company Startup ensures that your journey from idea to incorporation is smooth and stress-free.
Take the first step now and set up your OPC with confidence and clarity!
Post-Incorporation Compliance for OPC
After incorporating your OPC, certain legal compliances—similar to those for private limited companies—must be met. India Company Startup offers end-to-end assistance in meeting all regulatory requirements, helping you stay compliant and focused on growing your business.
What We Offer
Daily & Monthly Bookkeeping
- Reconcile bank, GST, and TDS records
- Identify and resolve mismatches proactively
- Maintain accuracy for timely Income Tax and MCA submissions
Financial Reporting
- Preparation of Profit & Loss Statements and Balance Sheets
- GST and MCA-compliant financial reports
- Cash flow reports for better financial planning
Reconciliation Services
- Reconcile bank, GST, and TDS records
- Identify and resolve mismatches proactively
- Maintain accuracy for timely Income Tax and MCA submissions
Secure Digital Bookkeeping
- Encrypted cloud-based accounting systems
- Anytime, anywhere access to your business data
- Aligned with India's data protection and compliance standards
Benefits of Our Bookkeeping Services
1. Accurate Financial Records
Our expert bookkeeping ensures every transaction is correctly recorded, reducing compliance errors and giving you a clear picture of your company’s financial health — crucial for GST, Income Tax, and MCA filings.
2. Time-Saving
Focus on growing your business while we manage your books. By outsourcing to us, you eliminate the burden of paperwork, reconciliations, and regulatory upkeep — saving you both time and effort.
3. Better Cash Flow Management
We help you monitor income and expenses in real time, so you maintain a healthy cash position, make informed decisions, and avoid last-minute cash crunches or missed tax deadlines.
A One Person Company (OPC) is a distinctive legal entity in India that enables a single individual to run a business with the benefits of limited liability. It merges the simplicity of a sole proprietorship with the formal structure of a private limited company.
The One Person Company concept was launched in India through the Companies Act, 2013.
OPC registration was established to foster entrepreneurship and bring small and medium-sized businesses (MSMEs) into the formal corporate framework.
Only a natural person who is an Indian citizen and has resided in India for at least 182 days in the previous calendar year is eligible. The company must have a minimum authorized capital of ₹1,00,000, and a nominee must be appointed at the time of incorporation.
No, OPCs are not allowed to participate in financial services like banking, insurance, or investment activities.
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At India Company Setup, we simplify the process of starting your proprietorship. Our expert team ensures hassle-free registration, timely support, and personalized guidance to help you launch with confidence.
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