The one-person company is the company having one person running all the affairs of the business while the others are the members subscribing to its agenda or memoranda. The subscribers can make use of the services offered by the one-person company.

Such companies are generally created when one member or founder has conceived an idea that can be put to use for a business. When the startups are conceived by one member, it’s usually put into one person company until the startup has perceived a certain success.

Features of one person company

The one-person company has certain features that make it desirable, and these features are listed below

• ● Single person is in charge of all the facets of the business. It acquires the role of a private company. The company run by a single person is private by nature.
• ● As the one-person company has one person in it, he is the owner of the business and liable for all the losses incurred by the company.
• ● The one-person company has to register a nominee who will be the legal receiver of any profits made in case something happens to the owner of the company
• ● There is minimum one director required for the one-person who is the person himself
• ● The one-person company, under the company’s act enjoys certain exemptions which are usually followed by the other companies.