One Person Company (OPC)
One Person Company is a company formed with only one person as a member unlike the traditional manner of having at least two members. Clause 2(62) of the Bill defines One Person Company and allows a single person to start a company. An individual can now register as a company under this clause with the legal and monetary liability restricted to that company and not to the individual.
Advantages of Limited Liability Company
Advantages of a limited liability company over a partnership or sole proprietorship include: Liability protection if you keep your business and personal matters separate. Understanding the basics of these tax obligations is critical to running a successful single-member LLC and remaining in compliance with IRS regulations.
Can a single person be a company?
One Person Company (OPC) allows a single person to start a company. Unlike a private limited company requiring at least two members, an OPC has one member and one director. An OPC combines features of a sole proprietorship and a company providing more opportunities with limited liability extending only to their share value.
Starting a Business Partnership
What should you consider when starting a business partnership? Rushing into an uncertain partnership risks future fallout. New partners often contribute an agreed amount of capital. Decide contribution amounts for initial and future partners. Consider what types of partners suit your goals.
Starting a Solo Business
What’s involved in starting a solo business? More than a great idea is needed to start a one-person business. You must get organized, arrange funding and insurance, choose a legal structure, file paperwork, handle promotion, etc.
Any Indian citizen residing in India can form an OPC with requirements including one director and member minimum. An OPC is easier to set up than other companies and separates personal assets from business debts.