A single-shareholder company is a private company with only one shareholder. Nepal's Companies Act expressly recognizes this structure and provides special rules for its governance.
Key feature
Under section 152 of the Companies Act, a single-shareholder company generally does not need to convene a board meeting or general meeting for decisions that the Act would otherwise require those bodies to make, unless its Articles provide otherwise. The shareholder's written decision is used instead.
What happens if the sole shareholder dies?
The Act contains a succession mechanism. A lawful heir or person acquiring title to the shares can acquire shareholder rights, subject to the applicable legal process and company-record requirements.
Why the structure matters
It allows an entrepreneur to operate through a corporate entity without adding a second shareholder merely for incorporation.