One Person Company registration or incorporation is the subject of involving a legal process which should be handled by a professional tax consultant. As per the Indian act, a Public Limited Company has a separate legal identity from its owners. A private limited company has no right to raise capital from public or issue shares for public subscription. The registration of Public Limited Company is complicated compared to proprietorship and partnership firm. DialMyCA offers online incorporation service of One Person Company for Indian citizen at a much affordable price. Choose a plan according to the nature of your business. good
The One Person Company is considered as a separate legal entity. In the eyes of the law, a company is a person, having a common seal, and perpetual succession. It gets the authority to exercise all the functions of an incorporated person.
OPC has only one shareholder. The issue of transferring a portion of the share does not arise at all because if it is done, the company will cease to be a �one person� company. Transferring all the shares is also not practicable as it�ll change the entire structure of the company as the owner of the company is changing. The issue has not yet been dealt with, and interpretation of the law may provide us with the explanation that in an OPC, transfer of share is not allowed.
OPC make a valid contract with its shareholder or directors. This means as a director you can receive remuneration, as a lessor you can receive rent, as a creditor you can advance money to your own company and earn interest. Directors� remuneration, rent and interest are a deductible expense which reduce the profitability of the Company and ultimately brings down taxable income of your business.
OPC is completely controlled and managed by the Single Owner. It leads to quick decision making and execution. The sense of belonging motivates to grow the business further.
One person company is the most popular business structure in the world. Large organizations prefer to deal with private limited companies instead of proprietorship firms. Private Limited business structure enjoys corporate status society which helps the entrepreneur to attract quality workforce and helps to retain them by giving corporate designations, like directorships.
OPC can enjoy all the benefits under Enterprises Development Act, 2006 as the newly incorporated OPC is Micro, Small, or Medium which are covered under the above mentioned act. According to this, if the buyer or sellers receives any late payment then they are entitled to receive interest rate which is three times the rate of bank
15400+ GST 15%
60000+ GST 18%
A.One person Company means a company which has only one person has a member.4
A.A Minor, Foreign citizen, Indian Non resident, a person incapacitate to contract are restricted from Forming a One Person Company.4
A.Yes, it can be converted into Private Limited Company, if the One Person Company has exceeded the threshold limit by filing necessary forms4