One Person Company Registration

  • Ready to turn your business idea into reality? With ONE Call Tax, registering your One Person Company (OPC) is a breeze! Enjoy the benefits of limited liability, complete control, and easy management—all with minimal paperwork. Whether you're a solo entrepreneur or looking to take your small business to the next level, our expert team makes OPC registration simple, fast, and hassle-free. Don't wait—unlock the full potential of your business today with ONE Call Tax. Register your OPC now and set your business on the path to success!

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OPC Registration

OPC (One Person Company) Registration is a new concept introduced under the Companies Act, 2013, which allows a single individual to start and run a business with limited liability. OPC provides the benefit of limited liability protection and gives sole ownership of the business to the entrepreneur. It is an ideal choice for those who want to establish a business but are hesitant to form a partnership or a private limited company.

The OPC structure is designed to encourage solo entrepreneurs and small businesses by offering a simplified registration process while providing the advantages of a company structure.

Benefits of OPC Registration:

  • Limited Liability Protection: The sole member’s personal assets are protected from the company's liabilities.
  • Separate Legal Entity: OPC has a distinct legal identity, enabling it to enter into contracts and own property.
  • Easy to Manage: OPC has fewer compliance requirements, making it simpler to manage compared to other forms of companies.
  • Tax Benefits: OPC is taxed like a private limited company, but it can have a lower tax burden in some cases.
  • No Need for Partners: An OPC can be started and run by just one individual, making it ideal for solo entrepreneurs.

Pre and Post Registration Checklist for OPC

Pre-Registration Checklist:

  • Choose a unique name for the OPC (should not be similar to any existing company or trademark).
  • Get a Digital Signature Certificate (DSC) for the proposed director.
  • Obtain a Director Identification Number (DIN).
  • Decide on the registered office address for the company.
  • Select a nominee for the OPC, who will take over the business in case of the owner’s incapacity

Pre-Registration Checklist:

  • Obtain the Certificate of Incorporation.
  • Apply for PAN and TAN.
  • Register for GST if applicable.
  • Set up the company’s accounting and bookkeeping system.
  • Comply with Annual Filing requirements with the Ministry of Corporate Affairs (MCA).

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Documents Required for OPC Registration

OPC-Registration Checklist:

  • Identity Proof of the sole director (Aadhar card, passport, voter ID, etc.).
  • Address Proof of the sole director (Utility bills, bank statement, etc.).
  • Photographs of the director and nominee.
  • Proof of Registered Office (Utility bills, rent agreement, etc.).
  • No Objection Certificate (NOC) from the property owner (if the office is rented).

Comparison Table: LLP vs Private Limited Company vs OPC

One Person Company (OPC)Limited Liability Partnership (LLP)Private Limited Company
Number of Owners12 or more2-200
LiabilityLimited to the capitalLimited to the capitalLimited to the capital
ManagementSole decision-makerShared managementShared management
ComplianceLess ComplianceModerate ComplianceHigh Compliance
TaxationSimilar to Pvt LtdTaxed as a partnershipCorporate tax
Ownership TransferNot easyTransferable through partnership agreementTransferable through shares
Auditing RequirementNo, unless turnover exceeds Rs. 1 croreYesYes

Detailed Step-by-Step Process for Registering OPC

  1. 1Obtain Digital Signature Certificate (DSC)
    • The first step is to obtain a DSC, which is essential for filing the incorporation documents electronically.
  2. 2Apply for Director Identification Number (DIN)
    • The DIN is required for the proposed director and can be applied through the MCA portal.
  3. 3Name Approval
    • Choose a unique name for your OPC and submit an application to the Registrar of Companies (RoC) for approval.
  4. 4Draft the MOA and AOA
    • The Memorandum of Association (MOA) and Articles of Association (AOA) need to be drafted and submitted for registration.
  5. 5File Incorporation Documents
    • Submit the necessary documents, including the MOA, AOA, and address proof, to the RoC for approval.
  6. 6Certificate of Incorporation
    • Once the documents are approved, the RoC will issue a Certificate of Incorporation, marking the formation of the OPC.
  7. 7Apply for PAN & TAN
    • After incorporation, apply for PAN and TAN for your OPC to enable tax filings.

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Post Incorporation of OPC and Annual Filings

After the incorporation of the OPC, it must comply with annual filings, including:

  • Financial Statements: A financial statement must be prepared and submitted to the MCA.
  • Annual Return: The OPC needs to file its annual return within 60 days of the AGM.
  • Director's Report: The director must prepare and file the report along with the annual return.

Taxation Rules for OPC and Advance Tax Applicability

OPCs are taxed like private limited companies. The tax rates are as follows:

  • Corporate Tax: OPCs are taxed like private limited companies with a corporate tax rate of 25% for OPCs with a turnover up to Rs. 400 crore.
  • Advance Tax: OPCs are required to pay advance tax if their tax liability exceeds Rs. 10,000 in a year.

Other Registrations Required for OPC

In addition to OPC registration, the following registrations may be required:

  • GST Registration: If the annual turnover exceeds the GST threshold limit, GST registration is required.
  • Trademark Registration: To protect your business name or logo, you may need to register a trademark.
  • Import Export Code (IEC): If you are engaged in import or export business, IEC registration is mandatory.
  • Accounting and Audit: Regular accounting and auditing are required for OPC compliance.
  • Payroll Services: Payroll services are necessary for managing employee salaries and ensuring compliance.

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