One Person Company Registration in Sikar: A Guide to Starting Your Business Alone

Starting a business is never an easy task, especially if you are doing it alone. However, with the introduction of One Person Company (OPC) registration in India, entrepreneurs can now establish and manage their business all by themselves without any hassle. This article will provide a guide to One Person Company registration in Sikar, Rajasthan, India, and the steps to follow to set up your business.

What is One Person Company (OPC)?

One Person Company is a type of company that can be incorporated by only one person, hence the name. The concept of OPC was introduced in India in 2013 to support solo entrepreneurs who can’t afford to form a company with multiple partners. OPCs provide the benefits of limited liability to the single owner, similar to that of a private limited company. It also simplifies the legal compliances for the entrepreneurs by eliminating the need for multiple partners and directors.

One Person Company (OPC) is a relatively new concept introduced in the Companies Act, 2013. It is a type of company where only one person is required to act as the director and shareholder. OPC is an ideal choice for entrepreneurs who want to start a business without the need for a second person. However, as with any other type of company, OPCs are also required to comply with various legal requirements under the Companies Act, 2013.

Commercial Importance of OPC Registration in Sikar

Sikar is a rapidly growing city in Rajasthan that has seen a surge in entrepreneurial activity in recent years. With its strategic location, skilled workforce, and robust infrastructure, Sikar has become an attractive destination for entrepreneurs to start their businesses. OPC registration in Sikar offers several advantages, such as limited liability protection, separate legal entity status, and perpetual succession, making it an ideal choice for aspiring entrepreneurs.

Moreover, Sikar has several industries such as textiles, ceramics, handicrafts, and agriculture that offer ample opportunities for entrepreneurs to start their businesses. The availability of skilled labor, raw materials, and favorable government policies has made Sikar a hub for small and medium-sized enterprises (SMEs). OPCs can take advantage of this favorable business climate to establish their businesses and grow their ventures. With the government’s focus on promoting startups and small businesses, starting a business in Sikar has become easier than ever before. One Person Company (OPC) is a popular form of business entity among entrepreneurs who want to start a business with limited liability and minimal compliance requirements.

Advantages of One Person Company

There are several advantages to registering your business as an OPC in Sikar. Some of these include:

• Limited Liability: The owner’s liability is limited to the extent of his/her investment in the company, which means that their personal assets are not at risk.
• Legal Recognition: OPCs are recognized as separate legal entities and can enter into contracts, acquire assets, and sue or be sued in their own name.
• Tax Benefits: OPCs are taxed as a private limited company, which means lower tax rates compared to sole proprietorship firms.
• Easy to Manage: OPCs require minimal compliance and fewer legal formalities, making it easier for a single person to manage.

Requirements for One Person Company Registration in Sikar

To register a One Person Company in Sikar, the following requirements need to be fulfilled:

• Director Identification Number (DIN): The first step in OPC registration is to obtain a DIN, which is a unique identification number for directors.
• Digital Signature Certificate (DSC): A DSC is required for online filing of documents.
• Name Reservation: The name of the company needs to be reserved through the Ministry of Corporate Affairs (MCA) website.
• Memorandum of Association (MOA) and Articles of Association (AOA): These are the charter documents that outline the company’s objectives, rules, and regulations.
• Registered Office: The Company needs to have a registered office address in Sikar.
• Share Capital: The Company needs to have a minimum authorized and paid-up share capital of Rs. 1 lakh.

Steps to Register One Person Company in Sikar

Here are the steps you need to follow to register your One Person Company in Sikar, Rajasthan:

• Obtain a Digital Signature Certificate (DSC) and Director Identification Number (DIN): The first step to registering an OPC is to obtain a digital signature certificate and director identification number for the sole owner.
• Name Reservation: The next step is to choose a unique name for the OPC and submit it to the Registrar of Companies (ROC) for approval.
• Draft Memorandum of Association (MOA) and Articles of Association (AOA): MOA and AOA are legal documents that define the purpose and scope of the company. It is important to ensure that the documents comply with the Companies Act, 2013.
• Filing of Forms: After drafting the MOA and AOA, the owner must file Form INC-32, Form INC-33, and Form INC-34 with the ROC.
• Pay Registration Fees: After submitting the forms, the owner must pay the registration fees to the ROC to complete the registration process.
• Obtain Certificate of Incorporation: Once the registration fees are paid, the ROC will issue a Certificate of Incorporation, which signifies that the OPC is now officially registered.

With regard to the company incorporation procedure, Legal Window has a team of professionals ready to offer you the greatest support, prompt delivery, and assurance of the highest level of customer satisfaction. You can reach out to our staff for One Person Company Registration and Compliance Services by calling 072407-51000 or sending an email to admin@legalwindow.in.

Compliance of One Person Company as per Companies Act, 2013

After the registration of OPC, it is mandatory to comply with certain legal and regulatory requirements as per the Companies Act, 2013. Some of the key compliance requirements for OPC are:

• Appointment of Auditor: OPC must appoint an auditor within 30 days of incorporation. The auditor must be a Chartered Accountant in practice and must hold a valid certificate of practice.
• Maintenance of Books of Accounts: OPC must maintain proper books of accounts and financial statements. The books of accounts must be maintained at the registered office of the company and must be preserved for a period of at least eight years.
• Filing of Annual Return: OPC must file its annual return with the ROC within 60 days of the closure of the financial year. The annual return must be filed in Form MGT-7 along with the audited financial statements.
• Filing of Income Tax Returns: OPC must file its income tax return with the Income Tax Department on or before the due date as per the Income Tax Act, 1961.
• Conducting Board Meetings: OPC must hold at least one meeting of the Board of Directors in each half of a calendar year. The gap between two meetings must not be less than 90 days.
• Conducting General Meetings: OPC must hold a general meeting of its member(s) at least once in a calendar year. The gap between two general meetings must not be more than 15 months.
• Appointment of Company Secretary: OPC is exempted from appointing a Company Secretary, but if the OPC has a paid-up share capital of Rs. 5 crores or more, then it must appoint a Company Secretary.

Important point of considerations regarding One Person Company Registration in Sikar

OPC is a type of business structure is ideal for entrepreneurs who want to start a business on their own without the need for any partners. In Sikar, many people are looking to register an OPC, but there are several points of consideration that must be taken into account before starting the process:

• Eligibility Criteria: The first and foremost point to consider is the eligibility criteria for registering an OPC in Sikar. Only Indian citizens who are residents in India can register an OPC, and they should not have been a member of any other company or be the nominee of any other OPC. The person who wants to register an OPC must have a valid PAN card, and only one OPC can be formed by a single person.

• Name Availability: Before registering an OPC in Sikar, it is important to check the availability of the desired company name with the Ministry of Corporate Affairs (MCA). The name should not be similar to any existing company or trademark, and it should comply with the naming guidelines issued by the MCA. The name should not contain any offensive or illegal words, and it should be unique and easy to remember.

• Capital Contribution: An OPC can be registered with a minimum authorized capital of Rs. 1 lakh, and there is no requirement for paid-up capital. The capital contribution can be made by the promoter in the form of cash or other tangible assets. It is important to note that the promoter cannot withdraw any amount from the company’s capital during the first two years of incorporation.

• Directorship: An OPC can have only one director, who should also be the sole shareholder of the company. However, the director can appoint a nominee in case of his/her incapacity or death. The director should be an Indian resident and should have a valid DIN (Director Identification Number) issued by the MCA.

• Compliance Requirements: Like any other company, an OPC also needs to comply with various legal and regulatory requirements. The annual compliance requirements include filing of annual returns, financial statements, and tax returns with the MCA and Income Tax department. Failure to comply with these requirements can lead to penalties and legal repercussions.

• Professional Assistance: Registering an OPC in Sikar can be a complex process, and it is advisable to seek professional assistance to ensure a smooth and hassle-free registration. A professional consultant can guide you through the entire process, from name approval to obtaining the certificate of incorporation, and can help you comply with the regulatory requirements.

Conclusion

OPC registration is a viable option for entrepreneurs in Sikar who want to start a business with limited liability and complete control over operations. The process of registration is relatively straightforward, and compliance requirements are reasonable. However, it is always advisable to consult a legal professional or a company registration service provider to ensure that all legal requirements are met.