One Person Company
Welcome to MSMElaunchpad, your trusted resource for comprehensive information and guidance on Person Companies (OPC). Aspiring entrepreneurs often face the challenge of starting a business alone while maintaining limited liability. OPC is a unique business structure designed specifically for such individuals, providing them with the benefits of a private limited company while enabling them to operate as a single member. Let’s explore the concept of OPC in detail and understand how it can be the perfect choice for your entrepreneurial journey.
₹2118 excl. GST
What is an OPC?
An OPC is a business entity introduced under the Companies Act 2013, allowing a single individual to establish and run a company. It combines the advantages of a sole proprietorship and a private limited company, offering limited liability to the sole member while retaining the flexibility of a single-person operation. With OPC, you can enjoy the benefits of a separate legal identity, perpetual existence, and ease of compliance.
Features and Advantages of OPC:
1. Limited Liability:
One of the key advantages of OPC is limited liability. As a sole member, your assets remain protected, and your liability is limited to the extent of your share capital investment in the company. This structure safeguards your assets and minimizes your financial risk.
2. Separate Legal Entity:
OPC is considered a separate legal entity distinct from its sole member. It can own assets, enter into contracts, and sue or be sued in its name. This separation ensures that the company’s liabilities and obligations are separate from those of the sole member.
3. Single Ownership and Management:
OPC allows a single member to own and manage the company, giving you complete control over decision-making and operations. This structure provides flexibility and streamlines the decision-making process, enabling swift actions and adaptability to market changes.
4. Perpetual Existence:
Unlike a sole proprietorship, which ceases to exist upon the demise or retirement of the proprietor, an OPC enjoys perpetual existence. The OPC structure ensures continuity and facilitates the transfer of ownership in case of unforeseen circumstances.
5. Ease of Compliance:
OPCs have relaxed compliance requirements compared to other companies. The annual filing requirements are simplified, reducing the administrative burden and saving time and effort.
Setting up an OPC:
1. Selection of Name:
Choose a unique and appropriate name for your OPC. The name should comply with the guidelines provided by the Ministry of Corporate Affairs (MCA).
2. Appointment of Nominee:
Every OPC must appoint a nominee who will take over the company’s affairs in case of the sole member’s incapacitation or demise.
3. Capital Infusion:
The sole member must contribute the required minimum capital to the company’s bank account within a specified timeframe.
4. Incorporation:
Prepare the necessary documents, including a Memorandum of Association (MoA) and Articles of Association (AoA), and file them with the Registrar of Companies (RoC) along with the required fees.
5. Obtaining Certificate of Incorporation:
Prepare the necessary documents, including a Memorandum of Association (MoA) and Articles of Association (AoA), and file them with the Registrar of Companies (RoC) along with the required fees.Once the documents are reviewed and approved, the RoC will issue the Certificate of Incorporation, officially establishing the OPC.
At MSMElaunchpad, we understand the intricacies of setting up an OPC and guide you through the entire process. Our platform provides step-by-step guidance, expert advice, and comprehensive resources to ensure a seamless experience. We assist you with name availability checks, documentation, filing, and compliance requirements, making the process hassle-free and efficient. Unlock the potential of your entrepreneurial aspirations with OPC. Leverage the benefits of limited liability, flexibility, and ease of compliance to establish and grow your Business. Join the league of successful entrepreneurs who have embraced OPC as their preferred business structure. Start your journey today with MSMElaunchpad and build your dream company with confidence.