Solo founder ke liye Pvt Ltd-style structure. Limited liability + separate legal entity. ₹50L capital / ₹2cr turnover cap. Auto-converts to Pvt Ltd at thresholds.
OPC = One Person Company. Companies Act 2013 ke under introduce. SOLO ENTREPRENEUR ke liye Pvt Ltd structure with single member (vs minimum 2 in Pvt Ltd). KEY: (1) Limited liability — member personal assets protected. (2) Separate legal entity. (3) Single member + 1 nominee. (4) ₹50L paid-up capital cap. (5) ₹2cr turnover cap. (6) AUTO-CONVERSION to Pvt Ltd if caps exceeded.
OPC ADVANTAGES over proprietorship: (1) Limited liability. (2) Separate legal entity. (3) Easier funding (eventually). (4) Better credibility. OPC DISADVANTAGES: (1) Higher compliance (₹30K-1L annually). (2) Mandatory audit. (3) ROC filings. (4) Statutory requirements. TAX: OPC at 25.17% corporate rate vs proprietor slab rates. For small profits, proprietorship cheaper. For ₹50L+ profits, OPC better.
OPC: SOLO + Pvt Ltd structure + caps. LLP: 2+ partners + limited liability + simpler than Pvt Ltd. Pvt Ltd: 2+ shareholders + 2+ directors + most flexible. STRATEGY: (1) Solo with growth plans → OPC. (2) 2+ founders or professional firm → LLP. (3) Funded startup or scaling business → Pvt Ltd. OPC unique — solo + corporate structure available nowhere else.
OPC ANNUAL COMPLIANCE: (1) Director's KYC: ₹500. (2) Form AOC-4 (financials): ₹3K+ govt fee. (3) Form MGT-7A (annual return): ₹3K+ fee. (4) Statutory audit: ₹15-30K. (5) ITR filing: ₹10-20K. (6) Bank + GST: separate. TOTAL: ₹50K-1.5L annually. NO mandatory board meetings (single member). Simpler than full Pvt Ltd but more than proprietorship.
OPC AUTO-CONVERTS to Pvt Ltd if EITHER: (1) Paid-up capital > ₹50 LAKH. (2) Average 3-year turnover > ₹2 CRORE. CONVERSION PROCESS: (1) File Form INC-6 within 6 months. (2) Add minimum 1 more shareholder. (3) Update MOA + AOA. (4) New Pvt Ltd takes over. (5) Cost ₹20-50K. STRATEGIC: Plan growth + conversion in advance. Don't suddenly cross thresholds.