One Person Company (OPC) may be created with only one person, serving as both the director and shareholder of the company. There can be more than 1 owner, but not more than 1 shareholder. This is registered in accordance with the compliance and regulatory guidelines of the Ministry of Corporate Affairs (MCA). One person company (OPC) as a concept allows an individual to reap benefits of being a company with a limited liability. It work best for anyone who is looking to run their business without external funding and wish to have effective control over all the operations of the business. The individual can take riskier decisions without having to worry about losing personal assets and this has encouraged many startups and young entrepreneurs to register as an OPC.
FEATURES ONE PERSON COMPANY
- It can have only one member or shareholder, unlike other private companies
- A unique feature of OPCs that separates it from other kinds of companies is that the sole member of the company has to mention a nominee while registering the company
- OPCs need to have minimum one person (the member) as director. They can have a maximum of 15 directors
- A One Person Company has more relaxed and less binding compliance regulations