Know More About One Person Company in India

While starting up a business, there are multiple things that cross your mind. Whether you should start a company as a Proprietorship firm or establish it aa a Partnership firm with someone? Whether to get it registered as a Private Limited Company or OPC – One Person Company? Clearly, company incorporation in India demands a careful thought process.

OPC is a rather new concept in India which has been introduced under Section 2(62) of the Companies Act 2013. One Person Company, as the name suggests, which has only one person as a member.

OPC can be formed for any lawful purpose by one person, and it offers fantastic possibilities for sole proprietors and entrepreneurs who can benefit from Limited Liability and corporatization but further steps are blocked by the requirements of finding a second director or second shareholder.

Limited Liability in OPC

In case of OPC, the liability in the event of business failure is limited only to the business assets. However, in case of a proprietorship, the liability is unlimited and in worst scenario the creditors can even take hold of your personal assets and home – including your personal bank accounts, jewellery, and house – to settle the liabilities. This is what differentiates a sole proprietorship from a One Person Company. This is also why incorporation of OPC is gaining popularity in India.

Requirements for OPC:

Any Indian citizen or resident of India –

• Shall be eligible to form a One Person Company
• Shall be a nominee for the sole member of OPC

Important things about OPC:

One share holder

This is the fundamental concept and most important thing about OPC. As defined in the Companies Act, OPC has only one member, and single shareholder enjoys 100% shareholding. Only a person who is a citizen of India can form OPC, not any foreign citizen or non-resident Indian can form OPC.

One Director

OPC may have only one Director, but it can have maximum 15 directors.

Nominee

A person forming OPC has to provide a written consent to nominate a nominee who shall come forward and take the reign of the company, in the event of death of the person.

Freedom from compliance

OPC also gets freedom from many compliances or requirements unlike other Private Limited companies.

Trademark Registration in Delhi

Every business needs a logo and a name to get recognition. It is that name or your signature that differentiates you from other businesses and competitors. The best way to create a brand for yourself which no one else can copy is by getting it registered under the Trademarks Act, 1999. A trademark is a unique name, logo, symbol, signature, sound, shape, number, alphanumeric number, combination of words or letters etc. that once registered cannot be used by anyone else other than its owner or proprietor. Trademarks offer an exclusive right of usage to the person under whose name it is registered. Trademark registration in Delhi is an easy task but it takes time to complete the whole process before it is allotted.

How to get trademark in India

To get a trademark registered an application in Form TM-1 must be submitted online. The application form must be filled completely and submitted along with a soft copy of the logo or signature, Form TM-48 which provides authorization of use, date from which the trademark is being used, name and address of the proprietor or owner. The applicant also needs to pay a nominal government fee, that is, trademark registration cost of Rs. 4000 (expected to be increased to Rs. 8000).

The application is submitted at one of these offices, viz. Mumbai, Delhi, Ahmedabad, Kolkata and Chennai, depending upon the place of business. Before submitting an application for registration of trademark, the proprietor or owner must make a pre-registration search to check the mark’s availability. To prevent infringement and similarity, Trademarks Office prefers to register only unique marks.

After months of deliberation the Registrar from the Trademarks Office will get in touch with you and ask you to give some clarifications. Once all the questions are answered, the registrar will get your application published in the Indian TradeMarks Journal. If no objections are received within the next 3 months, the trademark will be registered in the name of the proprietor or owner.

Every trademark is registered for a period of 10 years, post which it needs to be renewed. Every renewal is done for a term of 10 years and a proprietor or owner can get it renewed any number of times.

Importance of Registering Company

It is really very important to make sure that your company is registered.  It is necessary to register your company for running it without any problem. For incorporating any company there is a typical registration process. It is always advisable to get your company registered as soon as possible. There are few benefits that are available for only registered companies.

Here, I am mentioning some benefits for registered companies.

1. Registration gives company’s product and services authenticity. It reduces the stress for the consumers to believe in product and services.

2. You will never face any problem if you have registered your company. No one can challenge your authenticity in the market.

3. If you are incorporated with the registered business, then the government will also give you some tax deductions.

4. If your company is registered with the state or local government, then it also secures your business name.

5. Once, you have registered your company, and then no one can register their company with that same name.

6. Company name lives longer than the owners. So, in case if owner dies, then the registered company name still existed for so many years.

7. Registered companies can avail bank loan facility easily as compared to non-registered companies; because they do not need to prove themselves that they really own a business.

In Delhi, there are so many company registration consultants that help you to provide company registrations services. There are lots of formalities or legal requirements while registering your company. But company registration in India is quite easy because of these consultants. You just need to pay fees for registration and they will register your company by the concern ministries.

Registration consultants provide almost all the registrations facility in India. They also provide certain compliance and help to find Chartered Accountant, Company Secretary, Cost & Management Accountant and Lawyer registrations. They simplify the work and provide ease of incorporation and registration. They really help in concentrating on core activities by saving our time and money. It is now really very important to register the company whether by the online method or offline method for taking some extra benefits.  

Steps To Register An IT Company In India

If you happen to be planning on registering an IT company but don’t know exactly how to go about it, then having a guide listing all the necessary steps is vital. So to help you out with that guide, the following are the steps to register an IT Company in India:

ACQUIRE A DIRECT INDIENTIFICATION NUMBER

This is the first process of registering a company in your name. This step needs to be completed by the director of the company according to the amendment act of 2006. This can be done by acquiring an e-form, DIN-1. Once you are registered, use form DIN-2 and DIN-3 to intimate the company members and Registrar of Corporates about the registration respectively.

ACQUIRE DIGITAL SIGNATURE CERTIFICATE

This step is necessary to ensure the authenticity as well as sincerity of documents filed electronically. The Information Act 2000 demands a digital signature on the documents. One should not use a DSC given to you by any other agency which is not approved, and also, it is illegal to use somebody else’s DSC as your own.

CREATE AN ACCOUNT ON AN MCA PORTAL

This step is necessary and is required so as to have a registered user account on the MCA Portal for filing an electronic form for crucial elements like online fee payment, different transactions etc. as registered user indulging in trade and business. Creating an account is totally free of cost.

APPLY FOR THE COMPANY TO BE REGISTERED.

This is the final, and the most crucial step in the registration of your company, which includes incorporating a company name, registration of the office address, notices for appointment of different employees, their qualifications and salary information. Different forms corresponding to each of these steps that you need to fill out are:

Form-1A: 
 
Application form for availability or change of a company name. This needs to be filled first.

Form-1:

This is for application or declaration for incorporation of a company. This can also be filled in the later stages if there is no acquisition or merger.

Form-18:

This form is for notice of the situation of a new company office or change of situation of previously registered office.

Form-32:

For a new company, this form is for notice for appointment of new Directors, Managers and Secretary. For an existing company, this form is for a change of Directors, Mangers, Secretary or Company head.