Rather than putting it as a different structure, let's say it is a combination of many business structures. It's very similar to a sole propriety business and private limited company. To know more
Do you want to be the boss of your business, but is afraid of liabilities and other business losses that might eat up your assets? Let’s learn more about the OPC-One Person Company form of business.
Here are some features that set apart the OPC form of business
An OPC is a separate legal entity from its owner. This means, for example, if your OPC wants to buy a property in Telangana, it can do so, in its own name. The same is the case for obtaining loans, entering into contracts, or even filing suits. The owner and company are seen as 2 separate people under the law.
As discussed earlier since the company and director are 2 different people if the business suffers losses, the director will not be personally asked to cover up the loss or repay creditors
Unlike a private limited company, an OPC is not required to consult a board for every decision. The BOD and director are one and the same. So decision-making will be quicker and easier
If you are a startup owner but do not want to collaborate with anyone else for your idea, then OPC is a perfect choice. Since it’s a valid form for Startup India Recognition, there are no registration issues also
Some of the general documents that would be required to be kept handy while registering your OPC are
Additional documents: Varying from case to case, sometimes certain specific documents might be required. But worry not our expert team will communicate and inform you about all documents in one go so that you will not be asked to provide docs out of the blue
Get answers to all your queries
Rather than putting it as a different structure, let's say it is a combination of many business structures. It's very similar to a sole propriety business and private limited company. To know more
To be eligible for One Person Company registration in Telangana, you must: 1.Be an Indian citizen and resident for at least 182 days in the preceding financial year. 2.Do not Have a minimum authorized share capital requirement. 3.Not be engaged in certain restricted activities like banking or insurance.
An individual can only establish one OPC.
No, OPCs are not allowed to engage in activities like banking or insurance.
Some of the high points of registering an OPC in Telangana include: 1.Limited liability protection for your personal assets. 2.Enhanced credibility and a more professional image for your business. 3.Easier access to funding from banks and investors.
Potential disadvantages include: 1.Limited Conversion: An OPC must convert to a private limited company if its turnover exceeds Rs.20 crore or paid-up share capital surpasses Rs.50 lakh. 2.Compliance Requirements: OPCs are subject to certain compliances like filing annual returns and holding meetings.
An OPC is a unique business format introduced via the Companies Act 2013. It has the characteristics of both a private limited company as well as a sole proprietorship concern. In an OPC there is only a single shareholder-director, just like a proprietorship. But unlike the traditional proprietaries seen in Telangana, an OPC offers the benefit of limited liability to its owner. This means even if the business runs into losses and the company is unable to pay off the debts the director will not be required to contribute.
For a more detailed understanding, here’s a breakdown of the individual steps involved in OPC registration:
Clearbiz is a leading business service provider specializing in OPC registration. Our team of chartered Accountants, Advocates, or Company Secretaries, promises a professional approach to your business requirements. We assure a streamlined and easy registration with their knowledge and expertise
To be eligible for One Person Company registration in Telangana, you must:
Clearbiz offers transparent pricing with a breakdown of government fees and our service charges. We believe professional service charges must be affordable. Compliance should never burden a business. Once we get in touch and discuss your requirements, we will provide an in-detail quote clearly mentioning Professional Fees and Government charges