A One Person Company is a legal business entity that empowers a single individual to do business by making him/her the sole business manager, the profit accumulator and the decision maker.
If you have a business idea that seems farfetched to others but makes sense to you, you can just register a One Person Company. The process is quite easy and the documents required for OPC registration are easy to come by. And this article is going to tell you about those documents.
What is a One Person Company?
A one person company is a business entity with only a single director at its helm. Other than the director, it has no other members. Such a business entity has:
- The benefit of making decisions fast.
- The benefit of taking all the profits.
- The benefit of still having limited liability. Such a factor protects the director’s person assets if the OPC suffers monumental losses.
All of the above factors make a one person company a good choice for first time entrepreneurs. And that’s the reason why one person company registration in India has been getting more and more common with each passing day.
Documents required for OPC registration
As the process of One Person Company registration is completely online, the documents required are not that many. In fact, compared to the documents required for private limited company registration, OPC registration documents are quite easy to come by. Following are those documents:
- ID proof of the director of the company: Any one of the following documents can serve as the ID proof of the director:
- PAN card
- Aadhar Card
- Driving License
- Voter ID Card.
- Address proof: To prove that you’re a resident of India, you can provide any of the following documents:
- Any Utility Bill
- Bank Statement
(None of the above document should be more than two months old)
- Passport Size Photographs: 3 passport sized photographs are required.
- DIR 2 form: It’s the consent to act as the director of a One Person Company
- DIN details: Any future director of any type of company has to get a Director Identification Number.
- DSC: Digital Signature Certificate to authenticate the documents that will submit online.
- ID and address details of the Nominee: Courtesy of being helmed by a single director, a One Person Company doesn’t have the luxury of having perpetual existence. That’s why; he/she has to nominate someone at the time of registration to take over the OPC in event the director leaves the company.
- Address proof of the registered office: Following are the documents that you can submit as the address proof of the location that’s going to serve as the office of the OPC:
- Rent agreement.
- Registry of the property.
The mentioned documents for formation of OPC, along with the application of OPC registration India will have you establish a One Person Company without any hassle.