Public Limited Company

Created by: Leah Barber
Created on: 07-01-18 16:14


	Public Limited Company
	AdvantagesGetting Started Limited liability Capital raised by selling shares Easier to raise finance as seen as less of a risk	Disadvantages Annual accounts and reports must be made public Expensive to set up (You need £50,000) Size of company can affect decision making
	Evaluation Public limited companies exist in their own right, the owners and the company are separate legal entities so therefore if your business were to go down your life would not be affected by it (unlike having unlimited liability). The companies finances are separate from the owners personal finances. Shareholders are the owners of limited companies, they have limited liability and can only lose money they have invested in the business in the form of shares. Public limited companies operate in the private sector.

Public Limited Company

AdvantagesGetting Started

Limited liability
Capital raised by selling shares
Easier to raise finance as seen as less of a risk

Disadvantages

Annual accounts and reports must be made public
Expensive to set up (You need £50,000)
Size of company can affect decision making

Evaluation

Public limited companies exist in their own right, the owners and the company are separate legal entities so therefore if your business were to go down your life would not be affected by it (unlike having unlimited liability). The companies finances are separate from the owners personal finances. Shareholders are the owners of limited companies, they have limited liability and can only lose money they have invested in the business in the form of shares. Public limited companies operate in the private sector.

Business Studies
Types of Companies
GCSE
OCR

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Public Limited Company