Distinguish between the following: Firm and One Person Company.

Distinction between Firm and One Person Company Basis One Person Company (OPC) Firm Governing Law OPC is regulated by the Companies Act, 2013. Firm is governed and regulated by the Indian Partnership Act, 1932. Registration requirements Registration of OPC is compulsory Registration of Firm is not compulsory Name The name of OPC is required to be approved by the Ministry of Corporate Affairs and 'OPC' is also to be added with the name of the company. The name of the firm may be decided by the Partners. Separate Legal Status OPC is Separate Legal entity Firm is not a Separate Legal Entity Extent of Liability OPC has Limited Liability Firm has Unlimited liability Perpetual Succession OPC has Perpetual succession Firm has no perpetual succession Credibility for obtaining finance Credit may be obtained on the basis of credit record of the OPC Credit may be obtained on the basis of credit record of the partners Minimum number of Owners One Person Company has one shareholder Minimum two number of partners Requirement of DIN Every director is required to obtain Director Identification Number (DIN) No partner of a firm is required to get DIN