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One Person Company Registration: Documents, Advantages, Disadvantages & Eligibility Criteria

OPC company i.e. One Person Company is a company which has only one member. This definition of OPC has been defined in sub-section 62 of section 2 of the Companies Act, 2013. In this type of company structure, there can be only one shareholder. The shareholder can declare a person after him as his successor, who can become the shareholder of that company in case of his sudden death or otherwise. At least one director in One Person Company.


There should be and this number can be a maximum of fifteen. A shareholder of OPC company can also declare himself as director

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Registration Process for One Person Company

The broad framework for OPC registration is as follows:


Step 1- Apply for DSC

Step 2- Apply for DIN (Director Identification Number)

Step 3- Application for Name Approval

Step 4- Required Documents

Step 5- Form filling and approval with MCA

Step 6- Issuance of Certificate of Incorporation



Documents Required for One Person Company Registration:

  1. Proof of identity of director and nominee (PAN card)

  2. Address Proof of Director and Nominee (Aadhaar Card, Driving License, Electricity Bill, Passport)

  3. Address proof of office (rent agreement or sale deed, electricity bill, property tax receipt)

  4. NOC from landlord

  5. DSC and Director's Din

  6. Passport photo of the director


Advantages of One Person Company:

  • The biggest advantage of OPC Company is that the identity of the company is separate from the identity of its owner. That is, if the company gets caught in any legal trouble, then the case will be on that company and not on the owner of the company.

  • Its second advantage is that the liability is very less in this.

  • There is very little paper work involved, which makes the whole process easy.

  • OPC is very beneficial for small businessmen, because in this the businessman can start the company even without any additional share holder.


Disadvantages of One Person Company:

  • A person who registers an OPC cannot register another company of the same type, nor can he be a nominee in any company that comes under the OPC.

  • OPC cannot engage in any transaction which is non-financial in nature.

  • A minor person can neither be a shareholder nor a nominee in such a company.

  • OPC cannot be later converted into a company which comes under section 8 of the Act (non-profit company).


Eligibility criteria to start an OPC

  • A natural person must be an Indian citizen and resident in India for at least 182 days (financial year)

  • He/she cannot be a member or nominee of more than one OPC.

  • Minors are not allowed to be members or nominees.


Important Forms for OPC Registration

  • Questionnaire – Company Registration

  • Digital Signature Form

  • INC9 Declaration of Promoter

  • Declaration of Promoter-Non Deposit under FEMA and SEBI

  • DIR2 – Consent of Director

  • MOA and AOA Subscriber Sheet

  • NO Objection of owner

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