The 23-year-old singer has already signed UK's "The X Factor" finalist Jack Walton to his new label, which will be backed by Sony, and will hold auditions later this year to find a new girl band, reported Ace Showbiz.
"This is something I've wanted to do for some time. To be given the opportunity to potentially give new artists a platform is an incredible feeling. I hope to sign some really exciting new artists down the line," Tomlinson said.
The news comes just a few weeks after Zayn Malik quit One Direction to be "a normal 22-year-old."