How Much Does It Cost to Register an OPC in India?

Starting a business as a solo entrepreneur has become easier in India with the introduction of the One Person Company (OPC) structure under the Companies Act, 2013. An OPC allows a single individual to enjoy the benefits of limited liability while maintaining complete control over the business. However, before proceeding, one of the most common and practical questions is about the overall cost involved in One Person Company Registration. This blog will break down the complete cost structure including government fees, professional charges, and hidden expenses to give you a clear picture.

What Is One Person Company Registration?

One Person Company Registration refers to the legal process of forming a company in which there is only one shareholder who acts as both the director and member. This type of company is ideal for solo founders and small business owners who want to operate with the protection of limited liability. OPCs are governed by the Ministry of Corporate Affairs (MCA), and registration is done online through the MCA portal using the SPICe+ form.

Key Cost Components Involved in OPC Registration

The total cost of One Person Company Registration in India can vary depending on the services you choose, the professional you hire, and your state of registration. Here are the major components of the cost involved:

1. Digital Signature Certificate (DSC)

The first step in registering an OPC is to obtain a Digital Signature Certificate (DSC) for the proposed director. A DSC is used to sign electronic documents on the MCA portal.

• Cost: ₹800 to ₹1,500 per DSC
  
  

• Validity: Typically valid for 2 years
  
  

• Note: Only one DSC is required for an OPC
  
  

2. Director Identification Number (DIN)

A DIN is a unique identification number issued by the MCA to the director of the company. If the director does not already have a DIN, it will be allotted automatically during the SPICe+ filing.

• Cost: No separate fee if applied with SPICe+ form
  
  

• Note: Only one DIN is needed for OPC registration
  
  

3. Name Approval (Part A of SPICe+)

Choosing a unique name is an essential part of One Person Company Registration. You can either reserve the name first through the RUN (Reserve Unique Name) service or directly apply through the SPICe+ form.

• Cost: ₹1,000 for RUN service (if used separately)
  
  

• Note: If you directly apply via SPICe+, the name approval is included at no extra cost
  
  

4. Government Fees for Filing SPICe+ Form

This includes the charges for filing the incorporation form, including the Memorandum of Association (MoA) and Articles of Association (AoA).

• Government Filing Fees:
  
  

• For companies with authorized capital up to ₹10 lakh – No government fee is applicable under the MCA exemption scheme
  
  

• Stamp duty – Varies from ₹1,000 to ₹3,000 depending on the state of incorporation
  
  

• Common Stamp Duty Charges by State:
  
  

• Maharashtra: ₹2,000 to ₹3,000
  
  

• Delhi: Around ₹1,500
  
  

• Karnataka, Tamil Nadu, Gujarat: ₹1,000 to ₹2,000
  
  

5. PAN and TAN Application

As part of the SPICe+ form, PAN and TAN for the company are automatically generated.

• Cost: ₹131 (PAN) + ₹65 (TAN) = ₹196
  
  

6. Professional Fees

Most entrepreneurs hire a company secretary, chartered accountant, or a registration service provider to assist with the documentation, filing, and follow-ups.

• Cost Range: ₹3,000 to ₹8,000
  
  

• Factors Affecting Cost:
  
  

• Experience of the professional
  
  

• Complexity of the business
  
  

• Value-added services like GST registration or post-incorporation compliances
  
  

7. Notarization and Other Miscellaneous Costs

Certain documents like NOC from the property owner, affidavit, or ID proofs may need to be notarized. These expenses are nominal but should be included in your budget.

• Estimated Cost: ₹300 to ₹500
  
  

8. Post-Incorporation Expenses (Optional)

After the One Person Company Registration is complete, some additional costs may apply depending on your business needs:

• GST registration (if applicable): ₹500 to ₹1,000 (or included with professional services)
  
  

• Bank account opening: Usually free but requires minimum deposit
  
  

• MSME registration: Usually free or nominal service fee
  
  

Total Estimated Cost of OPC Registration

Here's a breakdown for better clarity:

Note: These are approximate figures and may vary based on the state and service provider.

Is OPC Registration Worth the Cost?

For many solo entrepreneurs, the cost of One Person Company Registration is a worthwhile investment. You get the benefits of limited liability, legal recognition, a separate legal entity, and easier funding opportunities. Additionally, the registration process is fully online and can be completed in about 7 to 10 working days with proper documentation.

Moreover, the compliance burden for OPCs is lower compared to Private Limited Companies, especially in the initial years. The MCA has also exempted OPCs from holding AGMs and certain board meetings, making it easier to manage.

Conclusion

The cost to register a One Person Company in India is relatively affordable, especially considering the legal and structural advantages it provides. Depending on your state, professional service provider, and optional services, the total registration cost usually falls between ₹7,500 to ₹10,500. For entrepreneurs looking to establish a formal business structure without sharing control, the OPC model strikes a perfect balance between simplicity and credibility. Before moving forward, it's advisable to consult a legal or compliance expert to avoid any filing mistakes or penalties down the line.