One person company in India is known as the best possible combination of different kinds of forms of organizations so that concerned people can avail several kinds of advantages very easily. This is considered to be a private limited company with one person ownership which will be very much similar to the sole proprietorship firm. Hence, there are several kinds of reasons why people should go with the option of OPC registration and some of those reasons are explained as follows:
- With the help of proper registration, the organisations will be able to enjoy limited liability protection to the directors as well as a shareholder which will ultimately help in providing the concerned people with proper protection in the whole process. In this particular system, there will be no problem with the personal assets and savings of the people even in the case business enters any kind of crisis.
- With the help of proper registration procedures, there will be comprehensive legal status for the one person company and the best part is that social recognition for the business will be paid proper attention without any kind of problem. This is considered to be the best possible way of enjoying a good corporate entity status in the whole society which will ultimately help in attracting the best quality workforce towards the companies.
- Whenever the one person company will be registered it will be very much capable of taking the complete control opportunity without any kind of problem. Because everything will be dealt with a single person only which will help in making sure that it will be leading to faster decision-making as well as execution and the best part is that people can even appoint as many as 15 directors into the OPC for different kinds of administrative functions. The best benefit is that there will be no need of giving even a single share to them.
- This is considered to be the best possible way of indulging in the testing of a particular business model and people can also enable faster funding with the help of this particular system because prototype and marketable products can be perfectly implemented without any kind of issue. If required the venture capitalist can always go with the option of converting this into a multi shareholder private limited company without any kind of issue at any point in time.
- Whenever the OPC will be registered it will become very much easy for people to raise loans from the bank without any kind of problem because a registered company is highly preferable in comparison to the proprietary firms. Hence, this particular concept is directly linked with improving the creditworthiness of the concerned organisations without any kind of issue.
- There will be a higher level of flexibility in terms of taxation and savings in the whole process so that there will be no problem and concerned people are very much capable of earning interest without any kind of problem.
Hence, indulging into register one person company is a very good idea for the people because of all the above-mentioned advantages.