Private Limited Company Conversion to OPC Conditions
- Natural persons should make up the new OPC.
- The new OPC will be open to anyone who’s a citizen of India, or who has spent 120 days in India during the once fiscal time, and who’s suitable to contribute to India’s development
- There should be no conflict of interest between members of the OPC or appointees for an OPC member
- OPC doesn’t permit minors to join or be a part of our association for any reason whatsoever
- The company which will be converted into an OPC shouldn’t be set up as a Section 8 company since that isn’t permitted to operate as an OPC.
How to Become an OPC from a Private Company
The process for converting a private corporation into an OPC is as follows:
- Organize a board meeting.
- Request a board meeting
- Request an EGM
- Assurance from creditors
- Postpone EGM
- Form submission to RoC
- publishing share instruments
Request a Board Meeting
Each member of the board shall get an announcement at least seven days before the meeting. The board meeting docket should be included in the announcement.
Organize a Board Meeting
The board of directors should convene for the following reasons.
- The metamorphosis of a Private Limited Company into an OPC requires board blessing.
- The Extraordinary General Meeting’s location, time, day, and hour must all be set.
- For the blessing of the EGM docket, notice, and defense
- To give any director the go-ahead to publish the authorized EGM notice.
Request an EGM
- The company’s directors, adjudicators, and members must all be informed of the extraordinary general meeting( EGM). The notice for the EGM must be transferred at least 21 days before the scheduled EGM date.
The Creditors’ NOC
The pot should get a no- expostulation instrument( NOC) from the current shareholders and creditors before passing the special resolution in the EGM. A written no- expostulation instrument( NOC) is needed.
Postpone EGM
The EGM will take place for the reasons listed below.
- Corroborate the quorum for the meeting.
- Corroborate whether the company’s adjudicator is present. However, determine whether a leave of absence has been approved in agreement with Section 146 of the 2013 Companies Act, If absent.
Form Submission to RoC
In order to conversion of private company into OPC, specific electronic forms must be submitted to the applicable register of companies( RoC)( OPC). The authorized register must admit the following forms
Type MGT- 14
As soon as the special resolution is approved by the EGM, Form MGT- 14 must be transferred to the RoC. Form MGT- 14 must be submitted to RoC within 30 days of the special resolution’s relinquishment. The Form MGT- 14 must be accompanied by the accompanying attachments.
The EGM Notice and a Duplicate of the Defense
A real certified dupe of the resolution was made.
updated articles of association and the company’s memorandum of association (MoA) ( AoA)
a licit dupe that has been certified of the board resolution.
Number INC- 6
The RoC should admit the operation for the conversion of the private establishment into the OPC. The operation must be filed using Form INC- 6 and include all necessary attachments
The complete list of creditors and members
The most recent balance distance for the business
a copy of the endorsement letter
A statement inked by the establishment’s directors stating that the conversion of a private company into an OPC has the blessing of all creditors and shareholders, that the company’s paid-up capital is lower than$ 50k, and that the private company’s periodic profit is lower than$ 2k.
A Share Instrument is Issued
The register of companies will examine all submitted-Forms and any connected documents filed by the private business in order to convert them into an OPC. After the register of companies is satisfied that the Private Company has complied with the legislative criteria, the RoC should issue a shared instrument for the conversion of a Private Company into an OPC.
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