Conversion of Company: Transform Your Business with SSJ GST Suvidha Kendra

Converting your company is like giving your business a brand-new avatar. At SSJ GST Suvidha Kendra, we make the complex process of converting your Pvt. Ltd., OPC, or any other business entity smooth, fast, and hassle-free. Whether you want to simplify operations, optimize taxes, or ensure better compliance, our conversion services are designed to meet your business needs efficiently.

A company conversion means changing the legal structure of your business. This could be from Private Limited (Pvt. Ltd.) to Public Limited, Pvt. Ltd. to One Person Company (OPC), or vice versa. Businesses opt for conversion to achieve lower tax burdens, reduce compliance complexities, or protect owners from personal liabilities. But the process involves legal, financial, and procedural complexities. That’s where we come in — our team handles everything from paperwork to approvals, so you can focus on growing your business.

Why Convert Your Business Entity?

Taxation Benefits

Each type of business entity has different tax treatments in India. Pvt. Ltd. companies pay a flat 25% corporate tax, while OPCs are taxed at the individual shareholder’s slab. Depending on your revenue and growth plans, converting could save you significant amounts in taxes every year.

Compliance Requirements

Compliance burdens differ widely. Pvt. Ltd. companies must file annual returns with the Ministry of Corporate Affairs (MCA), maintain registers, and conduct annual general meetings. OPCs have simpler compliance needs, making them more attractive for solo entrepreneurs or smaller businesses.

Liability Protection

Limited liability is one of the biggest perks of incorporating as a Pvt. Ltd. or OPC. But as your business grows, your needs for shareholder flexibility or attracting investment might change. Converting your company can help ensure your legal structure keeps up with your ambitions.

Step-by-Step Guide to Company Conversion

1. Board Approval

The journey begins with obtaining approval from the board of directors. A special resolution must be passed to authorize the conversion. This step demonstrates that all key stakeholders are on board with the plan.

2. Application Submission

An application for conversion must be filed with the MCA, complete with documents like:

The special resolution,
Altered Memorandum of Association (MOA) and Articles of Association (AOA),
Declaration of solvency by directors.

Accuracy here is critical — even a small error can delay or derail the process.

3. Professional Assistance

Engaging professionals such as chartered accountants, company secretaries, and legal experts ensures compliance with MCA requirements and helps avoid costly mistakes. Our team at SSJ GST Suvidha Kendra offers end-to-end support.

4. Pay Applicable Fees

Conversion isn’t free; you’ll need to pay conversion fees to the MCA. Ensuring fees are calculated correctly based on share capital and entity type is key to avoiding penalties or processing delays.

5. Issuance of New Certificate

Once approved, the MCA will issue a new Certificate of Incorporation (COI) reflecting the new structure of your business. This certificate is crucial as it is proof of your updated entity status.

Examples of Company Conversions

Conversion of Private Limited to Public Limited Company

Transitioning from a Pvt. Ltd. to a Public Limited Company allows you to offer shares to the public, raise substantial capital, and expand your ownership base. It’s a powerful step for companies planning rapid scaling, IPOs, or bringing in institutional investors.

Conversion of Private Limited to OPC

Converting a Pvt. Ltd. to an OPC simplifies your business when there’s only one owner involved. With fewer compliance requirements, reduced paperwork, and lower administrative costs, an OPC is perfect for solo entrepreneurs or consultants.

Conversion of OPC to Private Limited Company

When an OPC grows beyond the average annual turnover threshold (₹2 crore and above), conversion into a Pvt. Ltd. becomes mandatory. It also allows you to bring in co-founders or investors, giving your business more growth flexibility.

Documents Required for Conversion

To complete a company conversion (Pvt. Ltd. to OPC or OPC to Pvt. Ltd.), you’ll need:

Board resolution authorizing the notice for conversion
Notice issued to the board of directors
Altered Memorandum of Association (MOA)
Altered Articles of Association (AOA)
Declaration of solvency from directors
Last audited financial statements
List of members
Certificate from a Chartered Accountant if turnover exceeds the threshold
NOC from directors, shareholders, and secured creditors

Our experts will help you prepare these documents accurately, ensuring you meet every legal requirement.

Our Pricing for Company Conversion Services

Company Conversion (OPC to Pvt. Ltd. and vice-versa)
ETA: 17 Days
Price: ₹–

Request a consultation today, and let our team handle the entire process, from documentation to MCA approval, so you can focus on what you do best — running your business.

Frequently Asked Questions

What is the conversion of a Pvt. Ltd. / OPC etc.?

Conversion of a Pvt. Ltd. / OPC etc. is the process of changing the type of business entity from one form to another. This is usually done for reasons such as taxation, compliance, or liability protection.

What are the different types of business entities in India?

The most common types of business entities in India are:
Private Limited Companies (Pvt. Ltd.)
One Person Companies (OPC)
Public Limited Companies
Limited Liability Partnerships (LLPs)

Why might a business owner want to convert their business entity?

There are a number of reasons why a business owner might want to convert their business entity. Some of the most common reasons include:
Taxation: Different types of business entities are taxed differently in India.
Compliance: Different types of business entities have different compliance requirements.
Liability protection: Limited liability companies provide liability protection to their shareholders.

Which types of business entities can be converted?

All types of business entities in India can be converted to any other type of business entity. However, there are some special rules and regulations that apply to certain types of conversions. For example, an OPC cannot be converted to a Section 8 company.

What is the process of converting a business entity?

The process of converting a business entity from one form to another can be complex and time-consuming. It is important to consult with a qualified professional to ensure that the conversion is done correctly.

What are the documents required for conversion?

The documents required for conversion vary depending on the type of entities involved. However, some of the most common documents required include:
Special resolution at a general meeting of the company
Copy of the company’s Memorandum of Association (MOA) and Articles of Association (AOA)
Declaration from the directors that the company is solvent
Application for conversion
Payment of applicable conversion fees

How long does it take to convert a business entity?

The time it takes to convert a business entity varies depending on the complexity of the conversion and the workload of the MCA. However, it is generally expected to take at least 2-3 months to complete the conversion process.

What are the costs associated with conversion?

The costs associated with conversion vary depending on the type of entities involved and the complexity of the conversion. However, some of the most common costs include:
Application fees
Professional fees
Stamp duty
Advertisement costs

Are there any tax implications associated with conversion?

There may be some tax implications associated with conversion. It is important to consult with a qualified tax professional to understand the tax implications of conversion.

What are the benefits of converting a business entity?

There are a number of benefits associated with converting a business entity, including:
Tax benefits
Compliance benefits
Liability protection

What are the challenges of converting a business entity?

There are a number of challenges associated with converting a business entity, including:
Cost
Time
Compliance

What should I do if I am considering converting my business entity?

If you are considering converting your business entity, it is important to consult with a qualified professional to discuss the pros and cons of conversion and to ensure that the conversion process is done correctly.

Can I convert my business entity online?

Yes, you can convert your business entity online through the MCA portal. However, it is important to note that the online conversion process is complex and it is advisable to consult with a qualified professional before proceeding with the online conversion process.

What happens to my existing contracts and agreements after I convert my business entity?

All existing contracts and agreements will remain valid after you convert your business entity. However, it is important to review all existing contracts and agreements to ensure that they are consistent with the new type of business entity.

What happens to my existing employees after I convert my business entity?

All existing employees will continue to be employed by the company after it converts to a new type of business entity.

SSJ GST Suvidha Kendra

Conversion of Company