Close One Person Company
Close One Person Company can be expedited if the directors are guided through the complex steps.
Close One Person Company - An Overview
Since a company has its own separate existence, meeting regulatory compliances and existing apart from its directors and shareholders, it also has its own method of ceasing to exist, rather than an inoperative company simply ceasing to exist. When a company is run by a sole owner with the benefit of limited liability, it operates as a One Person Company, a separate legal entity from its members, thus offering protection to its shareholders & the person in charge. If an OPC has been inoperative for more than a year from its date of incorporation, it can apply for its closing.
Requirements for closing an OPC are tedious procedural steps, so leave the work of figuring them out to our experts by signing up for our OPC Closure service today, so that you can focus on life ahead of your earlier OPC!
Registration Process OF - Close One Person Company
- Upon signing up for closing OPC service, our business experts review the activities of your firm and determine the documents required for the commencing the winding up.
- After successfully going through a consultation, our team shall prepare an advisory helping you with the necessary steps and draft the necessary paperwork.
- Once the required documentation is compiled, our legal team would file the same with the Ministry of Corporate Affairs.
Documents Required for Close One Person Company
- Payment of all debts.
- Getting NOCs from Creditors.
- Filing of form STK-2 for the closure of the OPC.
Frequently Asked Questions
A nominee is a person who joins the business in the event that the promoter passes away or is rendered incapable.
Slightly less money is spent on an OPC than on a private limited company. You’ll spend about ₹12,000 to incorporate, followed by about ₹15,000 per year in compliance fees and the cost of an auditor to review your financial records.
If the annual compliances are not met, the company becomes dormant and can eventually be struck off. It takes upto 20 years to be revived.
While submitting the document online, the DSC electronically confirms the sender’s or signer’s identity. Some of the application documents must be signed by the directors using their digital signatures, as per the MCA.
No, a person can only form one OPC at once. In an OPC, the nominee is also covered by this rule.
There are no general benefits, but some benefits that are industry-specific. In addition to the minimum alternative tax and dividend distribution tax, profits are subject to a flat tax of 30%.