A One Person Private Limited Company (OPC) is the newest form of business in India introduced by the companies Act, 2013 for the first time where in only one person can open a company, However a nominee need to be nominated. An OPC can be established only for small businesses as the maximum turnover it can operate with is Rs. 2 Crores Only. an OPC can raise capital only upto Rs. 50 Crores. Only an Indian Citizen can open an One Person Company. One Person Company (OPC) is creation of law and can be registered / incorporated as per the law as in the companies act 2013 and the rules made thereunder. This is a new concept introduced for the first time in India by The companies act 2013, One person can act as share holder as well as director of the company hence more like a one person controlled organisation. The world OPC has to be written in the name of the company. OPC have a characteristic of proprietorship firm where one person owns, controls and manage the organisation. An OPC has to convert into a private limited company once turnover reaches 2 crores or Capital is more than 50 Lac
An One Person Company (OPC) is a new form of business introduced in the year 2013, for the first time where in only one person can open a company, However a nominee need to be nominated. Setindiabiz offers OPC Registrations from Rs. 14000/-only.
Distinct Legal EntityA legal entity like a company, has a separate identity from its owners or shareholders. With the embodiment of the company according to the law in force, a company becomes a distinct legal entity. In order to become a distinct legal entity, a company needs to be registered as a company under the Companies Act 2013.
Owning Property Like a person, a company can own property in its name too. Being a distinct legal entity, A Private limited company can own, enjoy and transfer its property rights to anyone. No claim can be made upon the property of the company by the shareholder as long till the time it exists.
Perpetual Existence Perpetual Existence refers to the continuation of an incorporated firm's existence. All Private Limited Companies have perpetual existence which implies that these firms are unaffected by the death of owner of the company or the transfer of its shares to a new establishment.The Best Part Of Prepatual Existence Is That A Comppany Will COntinue To Exist, No Matter How Many Directors, Officers And Shareholders Join Or Leave.
Limited Liability
Limited Liability implies that the owners or shareholders of the company are not personally liable to pay the business debts. They are only responsible for the unpaid shares of the company. In order to reap the Limited Liability Benefit, owner needs to comply with certain corporate rules and regulations
Borrowing Capacity Not only the private limited companies receive great financial assistance from banks and financial institutions but also enjoys an advantage of borrowing funds. A private limited company can issue debentures apart from accepting deposits from the public.
Capacity To Sue And To Be Sued Private Limited Companies enjoy the advantage to carry out legal proceedings and to bring a suit in the court of law. Like an individual, the companies can bring a legal action in another person’s name and also can be sued in the court of the law as they are independent legal entities.
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