The Company's Act, 2013 introduces a new concept, the OPC. A private company requires at least 2 directors and two members, while a public company needs at least 3 directors and seven members. One person cannot incorporate a Company before.
OPC is a company established by one person. There must be at least two directors and two members to form a company. A sole proprietorship is the best option for an individual who wants to start a business. A single person could not establish a company before the 2013 Companies Act. Get to know about Registering an OPC.
The Process for Registering an OPC Is as Follows:
Here are the steps for Registering an OPC in India.
Step 1: Apply to DSC
First, you need to get the Digital Signature Certificate (DSC), which the proposed director requires.
- Address proof
- Aadhaar card
- PAN card
- Photo
- Email ID
- Telephone number
Step 2: Apply to DIN
After the Digital Signature Certificate is issued, it is time to apply for the Director Identification Number (DIN) of the proposed Director in the SPICe form, along with the name of the Director and proof of address. DIN can now be applied in the SPICe form for up to three directors. Only existing companies can use Form DIR-3. Likewise, this aspect means that applicants no longer need to file Form DIR-3 separately starting January 2018.
Step 3: Approve your Name
Next, you will need to choose your Company’s name after you have incorporated an OPC. The Company’s name shall therefore be “XYZ (OPC Private Limited.”
The Form SPICe+32 application can approve the name. The Form SPICe+32 application can only accept one preferred name and the reason for keeping it. Moreover, you can submit another form SPICe+ 32 application if the first name is rejected.
We move to the next step once the MCA has approved the name.
Step 4: Documents Required
The following documents must be prepared and submitted to the ROC
The Memorandum of Association (MoA) outlines the Company’s objectives, or the business for the Company will be incorporated.
Further, the Articles of the Association (AoA) outlines the rules and regulations under which the Company operates.
Because there is only one Director and one member, the nominee must be named. If the Director becomes incapacitated/dead and cannot fulfill his duties, the nominee will take his place and perform the Director’s duties. Similarly, along with his PAN card and Aadhar Card, his consent in Form INC-3 will be taken.
The proof of the registered office of the proposed Company, evidence of ownership and a NOC (notarized copy) from the owner.
Declaration and Consent of the Director Proposed of Form INC-9 and DIR- 2, respectively.
The professional will sign a declaration certifying that all compliance were met.
Step 5: Filling forms with MCA
These documents will be attached along with the SPICe form, SPICe MOA, and SPICe AOA together with the DSC and professional and uploaded to the MCA site to be approved. Further, the Company’s Pan Number and TAN are automatically generated at the time of incorporation. You do not need to submit separate applications for the PAN Number or TAN.
Step 6: Issuance of the Certificate of Incorporation
Subsequent to confirmation, the Registrar of Companies will then issue a Certificate of incorporation. We can then start our business.
Checklist for Registering an OPC
- Maximum and minimum number of members.
- Before incorporation, a nominee should be chosen.
- In Form INC-3, the nominee must give consent.
- The Companies (Incorporation Regulations) 2014 stipulate that the name of the OPC must conform to the requirements.
- Capital minimum of Rs.1 Lakh
- DSC of the Director proposed.
- The OPC must be able to prove that they have a registered office.
Timelines for Registrating an OPC
In less than one day, the DIN and DSC of the proposed directors are available. A Certificate of Incorporation for an OPC can be obtained within 3-5 days. The entire incorporation process for an OPC takes about ten days. Moreover, this aspect is subject to departmental approvals and reverts from the respective departments. For further information, visit Vakilsearch and go ahead with Registering an OPC.
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