Want to convert Private Limited Company to One Person Company (OPC)?

A Private Limited Company can be easily converted into One Person Company under the Companies Act, 2013. One Person Company gives all the benefits of Private limited company with a separate legal entity. This is a new concept in India. One Person Company means a company which has only one member.

Requisites:

A Private Limited company who’s paid up share capital is of Rs.50 lakhs or less or whose annual turnover is Rs. 2 crores or less may convert it into One Person Company.

If a Private Limited Companies paid up share capital is more than Rs. 50 lakhs or annual turnover is more than Rs. 2 crores cannot convert its company to One Person Company.

Procedure for conversion:

  • A Board Meeting to be conducted for approval of all Directors before the conversion of private limited company to One Person Company.
  • A special resolution need to be passed for Extra Ordinary General Meeting to obtain approval of conversion from the shareholders.
  • File for conversion
  • Registrar will check all the documents and if satisfied issue a Certificate for conversion of Private Limited Company to One Person Company.

Advantages of conversion:

  • Limited Liability
  • Flexible in Management
  • Reduced taxation burden
  • Less Compliance
(All Inclusive)