A natural person may set up a limited company. A limited liability company funded by a natural person belongs to a one-person limited liability company, but a natural person can only invest in the establishment of a one-person limited liability company. There is no shareholders' meeting, and the articles of association are formulated by shareholders.
One-person limited liability company, also known as "one-person company", "sole proprietorship company" and "individual joint stock limited company", refers to a limited liability company in which one shareholder (natural person or legal person) holds all the capital contribution of the company. In essence, "one-man company" is more common in western countries, especially in the United States. Because the company laws of many States in the United States stipulate that directors must own a certain number of company shares, that is, qualified shares, most of the shares of many companies are owned by one shareholder, and a very small proportion of the shares are owned by company directors.
A sole proprietorship enterprise is a form of enterprise, which refers to an enterprise that is operated, owned and controlled by individuals, bears business risks and enjoys all business benefits. Natural person enterprise. The oldest and simplest enterprise organization form. Mainly prevalent in retail, handicrafts, agriculture, forestry, fisheries, service industry and family workshops.
Article 58 of the Company Law stipulates: "A natural person can only invest in the establishment of a one-person limited liability company. A one-person limited liability company cannot invest in the establishment of a new one-person limited liability company. "
Article 63 stipulates: "If the shareholders of a one-person limited liability company cannot prove that the company's property is independent of the shareholders' own property, they shall be jointly and severally liable for the company's debts. "
The article puts forward two restrictions.
1. You can only own one-person company at the same time, and you can't open a branch or subsidiary, but you can open a branch of the company, which is not called a company.
If the company can't prove that the property is independent of your own property, you must be jointly and severally liable for the debts of the company. Of course, you just can't start a one-person company, you can start other enterprises.
But even if one person can't set up two one-person limited liability companies, entrepreneurs don't have to worry because they can also set up general liability companies, that is, joint ventures, sole proprietorships or branches with others.
There are no restrictions on natural person investment companies or joint-stock companies, no matter how many. The limited company or joint-stock company he invests in can also invest in other enterprises and become the parent company, and the number is not limited.