One-person company registration galore

One-person companies (OPCs) galore with a record 301 registered in just first six months of the fiscal year, surpassing the total formed in several previous full years, official data show.
According to statistics from the Office of the Registrar of Joint Stock Companies and Firms (RJSC), the six-month figure is significantly higher than the 139 OPCs registered throughout the entire FY2023-24 and more than double the 140 in FY2022-23, indicating a renewed interest in the single-entrepreneur corporate model.
The growth also marks a sharp turnaround from FY2021-22, when only 124 OPCs came up following the formal introduction of the concept under amendments to the Companies Act.
With 301 OPCs already registered midway through the financial year, the current pace suggests that total OPC registrations could reach a new high by year-end if the trend holds steam.
Overall, 626 OPCs have been registered over the last four fiscal years, highlighting the significance of the recent acceleration compared to the previously sluggish uptake.
Despite the rise in OPC formation, overall entity registration at the RJSC shows a mixed picture across different categories.
Total registrations stood at 6,505 entities as of December FY2025-26, compared to 10,225 in FY 2024-25 and 10,267 in FY 2023-24, reflecting a rising trend in new business formation.
Company registrations peaked during the pandemic years, reaching 14,826 entities in FY 2020-21, a climb-down in subsequent years.
Standard company registrations fell from 12,125 in FY 2020-21 to 7,371 in FY 2024-25, and further to 4,547 in the first half of the current financial year.
Partnership firms, however, have shown relative stability. Registrations rose from 1,740 in FY 2018-19 to 2,483 in FY 2023-24, before moderating slightly to 2,479 in FY 2024-25 and 1,481 in the first six months of the current fiscal year.
Society registrations have declined over time, falling from 317 in FY 2020-21 to 123 in FY 2024-25, while trade organisation registrations have remained consistently low, with fewer than 25 registrations annually in most years.
Section 28 companies - non-profit entities - have also remained marginal, accounting for fewer than 10 registrations annually in recent fiscal years.
The recent increase in OPC registrations stands out against the overall moderation in total entity formation, suggesting a gradual shift in how individual entrepreneurs are choosing to formalise their businesses.
If the current registration momentum continues, OPCs are likely to account for a growing share of new business entities in the coming years, even as overall registrations remain below the highs recorded earlier in the decade.

bdsmile@gmail.com