ONE PERSON COMPANY

One Person Company widely known as One Man Company also, is a hybrid form of Proprietorship firm and a Company. Only one person is the member, who is the sole shareholder of the Company and may act as the director of the Company. The provisions pursuant to Companies Act, 2013 are applicable to OPC, unless otherwise stated. OPC has a limited liability. If you have a business idea, you need not to worry about finding the right partner to give wings to your idea; you can just start your own OPC.

Any person who is an Indian citizen and a resident of India is eligible to incorporate an OPC and can be a nominee of the member of an OPC. If paid up share capital of an OPC exceeds Rs.50 lakhs or its last 3 years average annual turnover exceeds Rs.2 crores it shall be liable to convert into either public or private limited company. Unless 2 years have expired from the date of incorporation of the company, OPC cannot voluntarily convert into any other form of company.

ADVANTAGES/FEATURES OF ONE PERSON COMPANY
OPC is a new concept introduced by the Companies Act, 2013 and some of its salient features are:

It has only one person as a shareholder/member.
It allows an entrepreneur to run a company as a separate legal entity.
Only a resident in India can incorporate a Single Person Company.
Memorandum of Association will prescribe the name of nominee who will take over the business in case of death of sole member.
The words “One Person Company” should be mandatorily mentioned in the name of the Company.
Single Owner Company or OPC has a limited liability i.e., the liability of the shareholder of the Company is limited. The personal assets of the shareholder are not at risk in case of liquidation of the Company. For example, if the shareholder acquire shares of Rs. 1,00,000/- the shareholder will be liable only up to Rs. 1,00,000/- and not beyond the same.
It has all the benefits of private limited company, but is also exempted from some clauses.
It is not mandatory to hold an Annual General Meeting nor is it compulsory to appoint a Company Secretary.

DOCUMENTS REQUIRED FOR ONE PERSON COMPANY

Identity And Address Proof
Scanned copy of PAN Card or Passport (Foreign Nationals & NRIs)
Scanned copy of Voter’s ID/Passport/Driver’s License
Scanned copy of the latest bank statement/telephone or mobile bill/electricity or gas bill
Scanned passport-sized photograph specimen signature (blank document with signature [directors only])

Registered Office Proof
For online company registration in India, the company must have a registered office in India. To prove admittance to the registered office, a recent copy of an electricity bill or the property tax receipt or water bill must be submitted. Along with the rental agreement, utility bill or the sale deed and a letter from the landlord with her/his consent to use the office as a registered office of the company should be submitted.

Scanned copy of the latest bank statement/telephone or mobile bill/electricity or gas bill
Scanned copy of Notarized rental agreement in English
Scanned copy of No-objection certificate from the property owner
Scanned copy of sale deed/property deed in English (in case of owned property)