{"id":746,"date":"2023-06-08T10:07:33","date_gmt":"2023-06-08T10:07:33","guid":{"rendered":"https:\/\/vibrantfinserv.com\/kb\/?p=746"},"modified":"2024-10-01T08:59:06","modified_gmt":"2024-10-01T08:59:06","slug":"what-is-one-person-company","status":"publish","type":"post","link":"https:\/\/vibrantfinserv.com\/kb\/what-is-one-person-company\/","title":{"rendered":"What is one person company?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_79 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/vibrantfinserv.com\/kb\/what-is-one-person-company\/#One_Person_Company\" >One Person Company<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/vibrantfinserv.com\/kb\/what-is-one-person-company\/#FAQs\" >FAQs:<\/a><\/li><\/ul><\/nav><\/div>\n<h3 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"One_Person_Company\"><\/span><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-18 alignleft\" src=\"https:\/\/vibrantfinserv.com\/kb\/wp-content\/uploads\/2023\/05\/Logo-Vibrant-FinServ-300x143.png\" alt=\"\" width=\"110\" height=\"52\" srcset=\"https:\/\/vibrantfinserv.com\/kb\/wp-content\/uploads\/2023\/05\/Logo-Vibrant-FinServ-300x143.png 300w, https:\/\/vibrantfinserv.com\/kb\/wp-content\/uploads\/2023\/05\/Logo-Vibrant-FinServ.png 482w\" sizes=\"auto, (max-width: 110px) 100vw, 110px\" \/><span style=\"text-decoration: underline;\"><strong>One Person Company<\/strong><\/span><img loading=\"lazy\" decoding=\"async\" class=\"alignright\" src=\"https:\/\/vibrantfinserv.com\/kb\/wp-content\/uploads\/2023\/06\/One-Person-Company.png\" alt=\"One Person Company\" width=\"203\" height=\"159\" \/><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;&lt;yoastmark class=\">One Person Company (OPC) is a type of company that can be formed with only one person as its member or shareholder. It introduce in the Companies Act, 2013 to encourage small business owners and entrepreneurs to start their own companies with limited liability protection.<\/span><\/p>\n<p>A OPC has a separate legal identity from its owner and treat as a separate legal entity. This means that the liability of the owner limit to the extent of the share capital subscribed to by the owner. This provides a significant advantage to the owner in terms of limited liability protection.<\/p>\n<p>An OPC require to have a nominee director who can act as a member in case of death, incapacity or absence of the owner. The nominee director does not have any ownership rights and is only a director of the company.<\/p>\n<p><strong>For more information visit this site: <a href=\"https:\/\/www.mca.gov.in\">https:\/\/www.mca.gov.in<\/a><\/strong><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignright\" src=\"https:\/\/img.jagranjosh.com\/images\/2021\/February\/1522021\/One-Person-Company.jpg\" alt=\"One Person Company\" width=\"203\" height=\"152\" \/><\/p>\n<p>Therefore, OPCs require to comply with the same legal and regulatory requirements as any other type of companies, such as filing annual returns and maintaining proper accounts. OPCs also require to be converted into a private limited company if the annual turnover exceeds Rs. If the paid-up capital of a company exceeds Rs. 2 crores, 50 lakhs.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"FAQs\"><\/span>FAQs:<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"relative flex h-full w-full overflow-hidden transition-colors z-0\">\n<div class=\"relative flex h-full max-w-full flex-1 flex-col overflow-hidden\"><main class=\"relative h-full w-full flex-1 overflow-auto transition-width\"><\/p>\n<div class=\"composer-parent flex h-full flex-col focus-visible:outline-0\" tabindex=\"0\" role=\"presentation\">\n<div class=\"flex-1 overflow-hidden\">\n<div class=\"h-full\">\n<div class=\"react-scroll-to-bottom--css-qguoj-79elbk h-full\">\n<div class=\"react-scroll-to-bottom--css-qguoj-1n7m0yu\">\n<div class=\"flex flex-col text-sm md:pb-9\">\n<article class=\"w-full text-token-text-primary focus-visible:outline-2 focus-visible:outline-offset-[-4px]\" dir=\"auto\" data-testid=\"conversation-turn-3\" data-scroll-anchor=\"true\">\n<div class=\"text-base py-[18px] px-3 md:px-4 m-auto w-full md:px-5 lg:px-4 xl:px-5\">\n<div class=\"mx-auto flex flex-1 gap-4 text-base md:gap-5 lg:gap-6 md:max-w-3xl lg:max-w-[40rem] xl:max-w-[48rem]\">\n<div class=\"group\/conversation-turn relative flex w-full min-w-0 flex-col agent-turn\">\n<div class=\"flex-col gap-1 md:gap-3\">\n<div class=\"flex max-w-full flex-col flex-grow\">\n<div class=\"min-h-8 text-message flex w-full flex-col items-end gap-2 whitespace-normal break-words [.text-message+&amp;]:mt-5\" dir=\"auto\" data-message-author-role=\"assistant\" data-message-id=\"bb383575-ea5d-4dbd-b28c-ebc1a580073a\">\n<div class=\"flex w-full flex-col gap-1 empty:hidden first:pt-[3px]\">\n<div class=\"markdown prose w-full break-words dark:prose-invert light\">\n<ol>\n<li><strong>What is a One Person Company (OPC)?<\/strong><br \/>\nA One Person Company is a company that has only one shareholder and allows an individual to start a business with limited liability protection.<\/li>\n<li><strong>Who can form a One Person Company?<\/strong><br \/>\nOnly an individual who is an Indian citizen and resident in India can form an OPC.<\/li>\n<li><strong>Can an OPC have more than one director?<\/strong><br \/>\nYes, while an OPC can have only one shareholder, it can appoint up to 15 directors.<\/li>\n<li><strong>What is the minimum capital requirement to start an OPC?<\/strong><br \/>\nThere is no mandatory minimum capital requirement for starting an OPC.<\/li>\n<li><strong>Is an OPC required to hold Annual General Meetings (AGM)?<\/strong><br \/>\nNo, an OPC is exempt from holding AGMs.<\/li>\n<li><strong>Can an OPC carry out any business activity?<\/strong><br \/>\nYes, an OPC can carry out most business activities, except non-banking financial investment activities.<\/li>\n<li><strong>What happens if the sole shareholder of an OPC dies?<\/strong><br \/>\nThe nominee appointed at the time of incorporation will take over the ownership of the OPC.<\/li>\n<li><strong>Is the compliance burden high for an OPC?<\/strong><br \/>\nThe compliance requirements for an OPC are less stringent compare to other forms of companies like Private or Public Limited Companies.<\/li>\n<li><strong>Can an OPC be convert into a Public Ltd Company?<\/strong><br \/>\nNo, an OPC cannot be directly convert into a Public Ltd Company. It must first convert into a Private Limited Company.<\/li>\n<\/ol>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"mb-2 flex gap-3 empty:hidden -ml-2\">\n<div class=\"items-center justify-start rounded-xl p-1 flex\"><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p><\/main><\/div>\n<\/div>\n<p>&nbsp;<\/p>\n<p><strong>For further details visit:\u00a0<a href=\"https:\/\/vibrantfinserv.com\/service-detail-2.php\">https:\/\/vibrantfinserv.com\/service-detail-2.php<\/a><\/strong><\/p>\n<p>Mail ID:\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<a href=\"mailto:operations@vibrantfinserv.com\">operations@vibrantfinserv.com<\/a><\/p>\n<p>Web Link:\u00a0\u00a0\u00a0<u><a href=\"https:\/\/vibrantfinserv.com\/\">https:\/\/vibrantfinserv.com<\/a><\/u><\/p>\n<p>FB Link:\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<u><a href=\"https:\/\/fb.me\/vibrantfinserv2\" target=\"_blank\" rel=\"noopener\">https:\/\/fb.me\/vibrantfinserv<\/a><\/u><\/p>\n<p>Insta Link:\u00a0\u00a0<u><a href=\"https:\/\/www.instagram.com\/vibrantfinserv2\/\" target=\"_blank\" rel=\"noopener\">https:\/\/www.instagram.com\/vibrantfinserv2\/<\/a><\/u><\/p>\n<p>Twitter:\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<u><a href=\"https:\/\/twitter.com\/VibrantFinserv\" target=\"_blank\" rel=\"noopener\">https:\/\/twitter.com\/VibrantFinserv<\/a><\/u><\/p>\n<p>Linkedin:\u00a0\u00a0 \u00a0<u><a href=\"https:\/\/www.linkedin.com\/in\/vibrant-finserv-62566a259\/\" target=\"_blank\" rel=\"noopener\">https:\/\/www.linkedin.com\/in\/vibrant-finserv-62566a259\/<\/a><\/u><\/p>\n","protected":false},"excerpt":{"rendered":"<p>One Person Company One Person Company (OPC) is a type of company that can be formed with only one person as its member or shareholder. It introduce in the Companies Act, 2013 to encourage small business owners and entrepreneurs to start their own companies with limited liability protection. A OPC has a separate legal identity\u2026 <span class=\"read-more\"><a href=\"https:\/\/vibrantfinserv.com\/kb\/what-is-one-person-company\/\">Read More &raquo;<\/a><\/span><\/p>\n","protected":false},"author":1,"featured_media":4763,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[4122,4994,468,7655,4117,48416,15609,9623,4174,4332,4290,9625,818,4284,5421,4930,5125,4288,4925,8777,5017,168,4132,48418,48412,254,13061,36527,4113,4322,5396,8699,48413,801,7137,15728,5373,48409,193,342,5787,4291,4285,5441,5434,9831,48410,6988,48422,48414,8689,8785,4282,4287,48417,48408,4155,15751,48420,5044,15866,4152,8380,4172,15995,4125,48424,5019,8428,4116,4134,515,336,2382,182,646,1659,229,181,503,4305,4286,2150,332,7213,48421,48419,15730,48415,48423,4301,16260,12875,48411,4941,4130,7986],"class_list":["post-746","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-company-registration","tag-businessdevelopment","tag-businessentity","tag-businessentityformation","tag-businessestablishment","tag-businessformation","tag-businessformationagency","tag-businessformationconsultancy","tag-businessformationconsultant","tag-businessformationprocess","tag-businessformationrequirements","tag-businessformationservices","tag-businessformationsupport","tag-businessgrowth","tag-businesslaw","tag-businesslegalframework","tag-businesslegalities","tag-businessmanagement","tag-businessowner","tag-businessownership","tag-businessownershipmodel","tag-businessownershipstructure","tag-businessregistration","tag-businessstartup","tag-businessstartupjourney","tag-businessstartuplife","tag-businessstructure","tag-businessstructureoptions","tag-companydirector","tag-companyformation","tag-companyformationconsultancy","tag-companyformationconsultant","tag-companyformationguidelines","tag-companyformationprocedure","tag-companyformationprocess","tag-companyformationrequirements","tag-companyformationservices","tag-companylaw","tag-companyowner","tag-companyownership","tag-companyregistration","tag-companystructure","tag-corporateformation","tag-corporatelaw","tag-corporatelegalframework","tag-corporatelegalities","tag-corporatelegalstructure","tag-corporateowner","tag-corporateownership","tag-corporateownershipconsultant","tag-corporateownershipmodel","tag-corporateownershipprocess","tag-corporateownershipstructure","tag-corporateregistration","tag-corporatestructure","tag-corporatestructureoptions","tag-entrepreneur","tag-entrepreneurialcommunity","tag-entrepreneurialdevelopment","tag-entrepreneurialecosystem","tag-entrepreneurialexperience","tag-entrepreneurialinitiative","tag-entrepreneurialjourney","tag-entrepreneurialleadership","tag-entrepreneurialmindset","tag-entrepreneurialopportunity","tag-entrepreneurialspirit","tag-entrepreneurialstartup","tag-entrepreneurialsuccess","tag-entrepreneurialventure","tag-entrepreneurlife","tag-entrepreneurmindset","tag-entrepreneurship","tag-legalentity","tag-legalentityformation","tag-limitedliability","tag-limitedliabilitycompany","tag-nomineedirector","tag-onepersoncompany","tag-opc","tag-smallbusiness","tag-smallbusinessformation","tag-smallbusinessowner","tag-soleproprietor","tag-soleproprietorship","tag-startup","tag-startupbusinessformation","tag-startupbusinessowner","tag-startupcompany","tag-startupcompanyformation","tag-startupentrepreneur","tag-startupformation","tag-startupformationprocess","tag-startupfounder","tag-startupfounderlife","tag-startuplegalities","tag-startuplife","tag-startupownership"],"yoast_head":"<!-- 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