How to Get Your One Person Company Registration Done this Diwali?

One Person Company in India was introduced under the Companies Act, 2013. In OPC, only a single person can run a company and act as a director and shareholder of the company at the same time. It is a type of Sole Proprietorship business in the form of a company which five all the authority to run a company by a single person by limiting his duties and liabilities for the business. The One Person Company is best for a small business whose turnover is not more than Rs. 2 crores. In this Diwali, if anyone wants to start a business, then they should register one person company under the Companies Act. One Person Company Registration is very simple, and you can run a company single-handedly without any complexity of having partners. In this blog, we discuss One Person Company Registration in India.

Benefits of One Person Company Registration

Following are some benefits of One Person Company Registration in India:

1. Separate Legal Entity.
2. Benefits on Tax.
3. Limited Liabilities.
4. Easy Funding.
5. Increased Trust.
6. Less compliance requirement.
7. Receive interest of late payment.

What are the minimum requirements for One Person Company Registration?

Following are some minimum requirements at the time of One Person Company Registration in India:

1. Minimum one shareholder is required.
2. Minimum one nominee is required.
3. Minimum one director is required.
4. Only an Indian resident can be the nominee and shareholder.
5. An only single person who is an Indian citizen can incorporate a One Person Company.
6. Obtain Director Identification Number (DIN) and Digital Signature Certificate (DSC) for all the Directors of the proposed company.
7. The shareholder and director of the company can be the same person.
8. At least one director of the company must be an Indian resident, and he or she must be staying in India for at least 182 days from the previous year.
9. Suppose the turnover of One Person Company more than is Rs. 2 crores. In that case, it has to be turned into a Public Limited Company or Private Limited Company within six months of duration.

Documents necessary for One Person Company Registration in India

Following are some essential documents required at the time of One Person Company Registration:

• Documents necessary for director of One Person Company:

1. Submit the scanned copies of PAN Card or Passport of the director.
2. For Foreign Nationals and NRIs, submit passport.
3. Submit a scanned transcript of Voter's ID or Driving License.
4. Submit the latest electricity bill/gas bill or Bank Statement or Landline bill/Mobile bill.
5. Specimen impression or signature.
6. Submit the latest passport size photos of the director of the company.

• Documents Necessary for the Registered Office:

1. Submit the latest electricity bill/gas bill or Current Account Statement or mobile phone bill of the registered office.
2. Submit a scanned transcript of Rental Agreement.
3. Submit a scanned transcript of NOC (No Objection Certificate) from the landlord of the concerned property.
4. In the case of self-owned property, submit Sale Deed or Property Deed.

What is the Procedure of One Person Company Registration in India

Following is the steps to complete the process of One Person Company Registration in India:

Step 1: Apply for Digital Signature Certificate:

For OPC Registration, the first step is to obtain Digital Signature Certificate of all proposed director. For that you have to submit all the following documents:

1. Address proof of the director.
2. Aadhar card.
3. PAN card.
4. Mobile number.
5. Latest passport size photographs.
6. Email Id.

Step 2: Apply for DIN:

After getting a Digital Signature Certificate, then apply for DIN (Director Identification Number) of the designated director through SPICe+ Form along with the name and address of the designated director. DIR-3 Form is the only option for existing companies. Now DIN (Director Identification Number) can be applied within SPICe+ form for up to 3 directors.

 Step 3: Search the name of the company:

After getting DSC and DIN, then the next step to decide the company’s name. Now, the name can be applied directly through incorporation Form SPICe+. MCA (Ministry of Corporate Affairs) approves the company’s name.

Step 4: Submit the documents to the ROC:

You have to prepare the following documents which are required to be submitted to Registrar of Companies (ROC):

1. Submit (MOA) Memorandum of Association to (Registrar of Companies) which stated the business for which the company is going to be incorporated.
2. Submit AOA (Article of Association) to the ROC (Registrar of Companies) which stating the bye-laws for the operation of a company.
3. There are only one director and a member in the company, a nominee on behalf of such person has to be appointed in case his pr her death the nominee will perform all the duties in behalf of the director and take his/her place. Nominee consent in Form INC-3 will be taken along with his/her Aadhar card and PAN card.
4. Submit proof of the registered office of the company with proof of ownership and No Objection Certificate from the owner.
5. Consent and Affidavit of the proposed director of the company of Form DIR -2 and INC-9, respectively.
6. Submit a declaration by any professional stating that all the compliances have been made.

Step 5: Filing of forms with MCA:

Attach all these documents to SPICe+ Form, SPICe-AOA and SPICe-MOA with the Digital Signature Certificate of the proposed director of the company and upload all these documents to the MCA portal for approval. After uploading all these documents in MCA Portal, Form 49A and 49B will be generated for PAN and TAN of the company and upload it to the MCA after attaching the Digital Signature Certificate of the company's director.

Step 6: Issuance of Incorporation Certificate:

After verification of all the documents and applications by ROC, The Registrar of Companies will issue the Incorporation Certificate, and you can begin your business in India.

Conclusion

If anyone wants to start a company on their own, then One Person Company Registration is the best way to establish a business in India. It creates a significant impact on the economy and development of India. If you want to start up your business in India, then contact Swarit Advisors. We at Swarit Advisors can help you to know the complete process and why you should start an OPC company and also provide you with all kind of legal solution you want.