Limited Companies

• At least one shareholder
• No minimum requirement for share capital
• Shares cannot be traded publicly but are transferrable between individuals

• Issued share capital - minimum of £50,000
• At least 2 directors and 2 shareholders
• PLC may raise money on the public stock exchange

For internal use - final accounts drawn up similarly to sole trader or partnership- i.e. Income Statement and Balance Sheet

Main Difference - Income Statement is followed by a Statement of Changes in Equity (shows how profit for year has been distributed, and links to the balance sheet)

Financial Accountant- prepare final accounts for both internal and external use

Management Accountant (cost accountant)- prepare budgets and reports relating to future business of company

Auditors- check that proper accounting procedures have been followed. 

Internal- employees of the company

External- independant of the business