One Person Company-a paradigm shift in the Indian corporate regime

Before the introduction of Company Act 2013, Sole proprietorship was the only option to do business single handed. But there was limitation of limited capital and unlimited liability. More ever there was problem of no separate legal entity.f you wanted to set up a private company, you needed at least one other person because the law mandated a minimum of two shareholders. Due to this, the person wanting to venture alone, have very less opportunities. Now, after the recent passing of the much-hyped Companies Bill, 2012, by the Rajya Sabha, there may be hope for the budding entrepreneur. The bill that aims to bring in sweeping changes in the corporate world has also opened the doors for the entrepreneur looking to set up a company all by himself. This has been made possible by bringing in the concept of One Person Company (OPC). Though this concept is new in India, it has been very popular abroad, including in Singapore, USA, even Europe. A one person company is a paradigm shift in the Indian corporate regime, bringing it at par with global standards. This paper is about prospects of one Man Company in India.