Introduction The One Person Company (OPC) structure was introduced under the Companies Act, 2013 to provide individual entrepreneurs with a simple yet formal business model. While OPCs enjoy reduced compliance burdens and full ownership control, they are designed to...
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Briefly review the capacity of OPC to raise capital
Introduction A One Person Company (OPC) is a corporate structure introduced under the Companies Act, 2013 to empower individual entrepreneurs with the benefits of limited liability and separate legal identity. While OPCs enjoy simplified compliance and full ownership...
Introduction to share capital flexibility in OPC
Introduction One of the key features that make a One Person Company (OPC) attractive to individual entrepreneurs is the flexibility in structuring share capital. Unlike traditional private limited companies that require multiple shareholders, an OPC can be formed and...
Describe the significance of separate legal entity in OPC
Introduction One of the most foundational principles of corporate law is the concept of a separate legal entity. This principle is central to all registered companies, including a One Person Company (OPC). Though an OPC is formed and operated by a single individual,...
Establish who can become a director of OPC
Introduction A One Person Company (OPC) is a hybrid business model that allows a single entrepreneur to enjoy the benefits of incorporation under the Companies Act, 2013. While the structure is designed for individual ownership, the company must still be managed by a...
Define OPC in contrast with partnership firm
Introduction In India’s business landscape, entrepreneurs have a range of legal structures to choose from, depending on the nature, size, and goals of their venture. Two common forms are the One Person Company (OPC) and the Partnership Firm. While both structures...
Establish the timeline for statutory compliance for OPC
Introduction A One Person Company (OPC) enjoys a simplified structure and limited compliance requirements compared to other corporate entities. However, it is still a company under the Companies Act, 2013, and must adhere to certain statutory deadlines annually to...
Explain how OPC contributes to formalization of unorganized businesses
Introduction India’s economy has long been characterized by a large unorganized sector comprising informal businesses operating without legal registration or structured governance. These enterprises, though significant in employment and local commerce, often lack...
Define the term small company and its link with OPC
IIntroduction The concept of a "Small Company" was introduced under the Companies Act, 2013, to reduce the compliance burden on businesses with limited scale. This classification allows eligible companies to benefit from simplified regulatory requirements while...
Briefly note the name reservation process for OPC
Introduction The name of a One Person Company (OPC) is a crucial element of its legal identity and brand recognition. Choosing and reserving a unique and compliant name is the first formal step in the OPC incorporation process under the Companies Act, 2013. The name...