An individual can create a corporation and benefit from restricted liability by using a One Person corporation (OPC) business structure. An OPC offers the owner protection from personal liability for company obligations because it is a distinct legal entity as opposed to a sole proprietorship. OPCs, which need a lone shareholder and a nominated director, are governed by the Companies Act in several jurisdictions. An OPC has significant limits, such as paid-up capital constraints and the requirement for the nominee in the event of the single director's incapacitation, although providing the benefits of corporate status and restricted liability.
