The concept of OPC was introduced by MCA in 2013 to support individual company owners. Entrepreneurs who are capable to manage their company single-handedly can take the advantage of corporate laws. Just like other companies an OPC will be considered as a separate legal entity and will offer limited liability protection to its only shareholder.
To register a One Person Company (OPC) only 1 owner is required, the owner can act as both the shareholder as well as a director of the company. The company will be allowed to have more than 1 director, but it is not allowed to have more than 1 shareholder.
What is One Person Company (OPC) Registration?
If a company is registered as an OPC, a single owner will gain complete authority over the company. This as a result will restrict his/her liability towards the contributions to the enterprise. Therefore,the owner will be declared as the sole director and shareholder (please note, a director nominee will be present the entire time, but he/she will have zero power until the real director will be proved as incapable of managing the firm).