Conversion of One Person Company (OPC) into Private Limited Company

No one person company can convert voluntarily into any kind of company unless two years have expired from the date of incorporation of One Person Company, except

a) threshold limit is increased beyond fifty lakh rupees (paid up share capital) or

b) its average annual turnover during the relevant period exceeds two crore rupees.

A Private Company has privilege over One Person Company as it can increase its number of members up to 200 for raising further funds for expansion.

Advantages of Private Limited Company

  • It is flexible and has limited liability.
  • Greater capital contribution and greater stability as compared to OPC.
  • Greater possibility to grow big and expand with greater number of members as compared to OPC.
  • No maximum limit of share capital and turnover needs to be maintained in private company as required in OPC.
  • Better management, as at least two directors needed to be appointed which distributes the work load between directors and brings more stability and accuracy in decision making.
  • If any 3rd party sue the unregistered firm then the unregistered firm can’t claim set-off of the amount which it owed by 3rd party to it.


Process for Conversion of One Person Company into Private Company

What you do

You just need to fill our simple form regarding the basic details of director, your business activities and provide certain documents as needed by our team.

What We do

Conversion of One Person Company into Private Company in India needs approval from the Registrar of Companies (ROC). We will be preparing and filing all the documents with the ROC.

What you get

Once the required resolutions are passed by the company, we will start the process for conversion of the company.

You will receive fresh Certificate of Incorporation within 15 days from completion of process for conversion of the company subject to approval by the ROC.

Frequently Asked Questions

Whether a One Person Company can be converted into Private Company before 2 years elapses from incorporation?

Yes, OPC can be converted within 2 years of incorporation but only if threshold limit of paid up share capital of Rs. 50 lakhs or less or its average turnover of Rs. 2 crore or less is exceeded.

Whether the number of members need to be increased in case of conversion of One Person Company to Private Company?

The minimum number of members is to be increased to 2.

What is the minimum number of directors required to be appointed if converting One Person Company (OPC) into a Private Company?

Minimum 2 directors need to be appointed in private company.

What is the Capital requirement for Private Company?

At present there is no minimum capital requirement for private company.

  • Name of the partnership firm.
  • Place of business of the firm.
  • Names of any other places where the firm carries on business.
  • Date of joining of each partner.
  • Name and permanent address of the partners.
  • Duration of the firm.

The statement must be signed by all partners or by their agents specially authorised in this behalf.

Do I need to be physically present?

All the documents are filed in electronic form and there is no need of any physical presence.

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