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| one person company to private limited company |
OPC or One
person Company is the relatively new structure in the business sector to
encourage more entrepreneurship. This form of company only involves one person
as the company owner and as shareholder. It has the benefits of both sole
proprietorship and company from of business. The main reason for introducing
this concept of OPC is to support and encourage the development of small
businesses.
The rules
for Conversion of One Person Company (OPC) into Private Limited Company is laid
down in the Company Act 2013, which states that it is necessary to convert a
one person company into private limited company. The criteria are listed below:
- When the paid-up share capital of the OPC recaches more than INR 50 Lakhs.
- If the annual turnover of the OPC exceeds INR 2 Cr. for three consecutive years.
- Also, the time period allotted for the conversion to PLC is six months.
- The initial step for the process of conversion
of OPC to PLC is the intimation to the registrar of the company for
conversion. It is an official procedure under which the registrar is
informed for the conversion.
- Meeting of the board of directors for the increasing
the number of directors and shareholders of the company. Also, approval
for the alteration of the MOA and COA of the company.
- ROC form filling with the concerned registrar
for various steps involved in conversion.
- The next step towards the process of conversion is
Filing of Form MGT-14 with Registrar of Companies within 30 days of
passing the special resolution, along with certified copies of minutes and
resolution passed.
- Filing of the form MGT-14 with the registrar of
companies with in 30 days of passing the resolution. Certified copies of
minutes and resolution passed has to be attached with it.
- Filing the INC-6 form along with the required fees
payment. Also include the required documents.
- After the registrar of companies receives the forms
and the relevant documents. The verification is done about the proper
compliance of the company conversion requirements. After this a
certificate is issued which certifies the conversion of the OPC to a
Private Limited Company.
There
are many companies which are not aware of the process of conversion of OPC to
Private Limited, hence, many legal firms have been created with the motive of
helping the businesses in filing the forms and assisting step by step for the
conversion of the OPC into the Private limited company.
Company
Registration In India
Email: Contact@Company-Registration.in
Call/Whatsapp: 8800100284
Website:www(dot)company-registration(dot)in
Address:S-191C,
Manak Complex, School Block, Shakarpur
New Delhi,
Delhi 110092