Logic and concept of One Person Company (OPC)
On December 2, 2004, the Indian government established an expert group on company law, which was headed by Dr. JJ Irani. The Committee informed the Government of its findings and offered its recommendation regarding corporate legislation with regard to the global market. The concept of One Person Company (OPC) is one of the recommendations of this report. The Committee noted growing use of digital markets and information technology, which resulted in the development of the service industry. A natural platform was also necessary for those with entrepreneurial skills to engage in the underground economy. It is difficult to imagine that a businessperson with a brilliant concept would bring a group of people with him or her to enter the market. The committee suggested that the creation of a single person entity known as a "One Person Company" would allow the company law to recognize the single person identity.
Comments