Home / Private Limited to One Person Company (OPC)
Updated on 16 Jan 2021 9.00 AM IST | 4 min read
One Person Company (OPC) Definition
One person company is a new concept introduced in India which is owned and managed by a single entrepreneur whereas in case of private limited company, two or more persons are needed to incorporate a private limited company. A nominee must be registered in case of OPC at the time of registration in form INC-3. The proposed director must have DIN & DSC and he/she should be a citizen of India. There is no need to change the office location of the previous private limited company.
Many persons now days transferring their private limited company into one Person Company. For making conversion from private limited company into one Person Company (OPC), the private limited company must have total paid up capital of Rs.50 Lakhs or its annual average turnover in previous 3 financial years must be Rs.2 crores. OPC also needs a nominee director so that responsibility can be transferred to the nominee director, if the director of the company is unable to manage its business operations. An alteration is also needed to be done in MOA & AOA of the company.
What Is Included In Our Package?
Requirements for Converting Private Limited Company into OPC
- As per section 8 of the company’s act 2013, private limited company should have share capital of Rs.50 Lakhs or annual average turnover of Rs.2 crores in the last three financial years in order to convert their company into OPC.
- The conversion should BE in accordance with the rule 7 of companies (incorporation) Rules, 2014.
- The company should take permission in writing from the existing members as well as creditors at the time of passing a special resolution in the general meeting. The existing members & creditors must have no objection in converting private limited company into OPC.
- For converting a private limited company into an OPC, the company is required to file special resolution with registrar of companies after getting approval from shareholders. Therefore, FORM MGT-14 should be filed along with the documents within 30 days of passing of special resolution with ROC.
Benefits of OPC
There are many benefits of using the new payroll system –
Procedure Of Converting Private Company Into One Person Company (OPC)
FAQ’S about Converting Private Company Into One Person Company (OPC)
- 30 days in case of voluntary conversion
- 6 months in case of mandatory conversion
Latest News & Updates
- Jan 15,2021
- Jan 14,2021
- Jan 13,2021
- Jan 12,2021
- Jan 11,2021
- Jan 09,2021
- Jan 08,2021
Deadline for filing income-tax returns (ITR) for FY 2019-20 (AY 2020-21)Jan 10th ,2021
Monthly GSTR 7 (Summary of Tax Deducted at Source (TDS) and deposited) for December 2020Jan 10th ,2021
Monthly GSTR 8 (Summary of Tax Collected at Source (TCS) and deposited by e-commerce operators) for December 2020Jan 10th ,2021
Due date for Payment of TDS/ TCS for Oct 20- ITJan 10th ,2021
GSTR 1 for December 2020 (turnover more than INR. 1.50 Crore)Jan 11th ,2021
Monthly GSTR 6 for December 2020Jan 13th ,2021