How to apply for Online One Person Company Registration in Coimbatore
How to apply for a one person company registration through online
They have reintroduced the concept of One Person Company through the Companies Act 201 to promote self-employment with the support of India’s legal system. This concept enables small entrepreneurs to set up their company under a one-member membership, as well as a nominee who can take charge of the company in case of death or any other disaster with the owner. What is your exact need?. Here we discuss about How to apply for Online One Person Company Registration in Coimbatore in this article.
The concept of a one person company opens up wonderful possibilities for sole proprietors and entrepreneurs who have the benefits of limited liability and collaboration. OPC has many advantages over other private companies such as it can get lower interest rates on loans, borrow funds from any security deposit banking institutions, and many other benefits under foreign trade policy and others.One Person Company (OPC). In a private company, a minimum of 2 directors and 2 members is required while in a public company, a minimum of 3 directors and at least 7 members is required. A single person could not previously include the company.But now according to Section 2 (62) of the Companies Act 2013, a company can be formed with only 1 director and 1 member. It is a form of a company where compliance requirements are lower than a private company.
Documents required for one person Company
Proof of identity of directors and shareholders
- PAN Card for Indian Citizens (Mandatory)
- Passport for foreign nationals (mandatory)
- Proof of nationality for foreign nationals
- Proof of Identity (Voter ID / Passport / Driving License) (Any one)2 passport size photos.
Address proof of director and shareholder
Bank statement / electricity / telephone / mobile bill) (not older than two months)
Proof of registered office
Convention / lease deed / lease agreement etc. with rent receipt (any one)
Copy of utility bill (telephone / gas / electricity bill) (not older than two months) (any)
NOC from the landlord
- DSC Form (Body Signature)
Note: In case of foreign director all the documents should be complied with as under:
Notarized (if living in Commonwealth countries)
- Notarized and apostate (living in a country that is a signatory to the Hague Convention)
- Notarized and consolidated (unless covered in the above category)
Process of registration:
1. Apply for DSC: The first step is to obtain the Digital Signature Certificate (DSC) of the proposed Director which requires the following documents:
Proof of address
2. Apply for DIN: Once the Digital Signature Certificate (DSC) is done, the next step is to apply for the Director Identification Number (DIN) of the proposed Director in the Spicy Form along with proof of Director’s name and address. Form DIR-3 is an option available only to existing companies. This means that from January 2018, the applicant does not need to file DRI-3 separately. Up to three directors can now apply for the DIN spice form.
3. Name Approval Application: The next step when involving OPC is to decide on the name of the One Person company. Company name will be “ABC (OPC) Pvt. Ltd.”
There are 2 options available to get name recognition by applying in Form Spicy32 or by choosing 1 name using MCA’s RUN web service and the importance of having that name. However, with effect from March 23, 2018, the Ministry has decided to approve two proposed names and one RFB, reserving unique names (RUN service) for companies.
We focus on next step once the name is approved by the MCA
4. Required Documents: We have to prepare the following documents which are required to be submitted to ROC:
A. Memorandum of Association (MOA) which will be followed by the company or the business for which the company will be involved.
B. the Articles of Association (AOA) which will be governed by the One Person Company lays down the by-laws.
C. As there is only 1 director and member, a nominee has to be appointed on behalf of such person as if he becomes incapacitated or dies and is unable to perform his duty he will perform on behalf of the director and take his place. Their consent will be taken along with their PAN card and Aadhar card in Form INC-3.
D. Proof of registered office fee of the proposed One Person Company along with proof of ownership and NOC from the owner.
E. Declaration and consent of the proposed Director of Form INC-9 and DIR – 2 References.
F. A declaration by professional certification that all have been complied with.
5. Filling the form with MCA: All these documents will be attached with the Spicy Form, Spicy-MOA and Spicy-AO along with the Director and DSC of the professional and will be uploaded on the MCA site for approval. Page number and TN are generated automatically at the time of One Person Company inclusion. No separate application is required to obtain page number and TAN.
6. Issuance of Certificate of Investment: Upon verification, the Registrar of Companies (ROC) will issue a Certificate of Incorporation and we will be able to start our business.
Benefits of OPC registration:
Easily accessible: One Person Company Registration is very easy as there are few documents related to the number. Due to the small number of directors and the number of forms, it has only one member and one nominee. Most of the entrepreneurs focus on One Person Company Registration.
Formation and Existence: An One Person Company is a long-running contract that does not close after the death of its member but can be handled by its nominee.
Financial assistance: such as banking and financial institutions prefer to give money to a company rather than owned companies.
A simple pass: After completing two years of its existence, an One Person company registration in Coimbatore can voluntarily transform itself into a private or public company which is limited by the rules and regulations by the Companies Act 2013.
Limited liability: The shareholder’s liability in One Person Company is limited to its shareholding, i.e. no loss or debt in the business affects the personal pocket of its owner hence no personal liability against the company.