Private & Public Limited Companys

Created by: KyleRogers
Created on: 30-09-16 14:36

What is a Public Limited Company?

It is a Limited Liability company which offers shares to the public. The stocks are offered to the general public and can be aquired in the public offering or through stock exchanges.

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What is another name for a Public Limited Companys?

PLC

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What are the Advantages of a Public Limited Company?

- Value of shares rise - Better access to capital - Liquidity

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What are the Disadvantages of a Public Limited Company?

- Must be atleast 2 shareholders before the Public Limited Company can be formed - Must be atleast two directors - Many Legal formalities to starting a Plc

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What is a Private Limited Company?

A Private Limited Company is a type of privately held small business entity. This type of business entity limits owner liability to their shares. It limits the number of shareholders and restricts shareholders from publicly trading shares.

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What is another name of a Private Limited Company?

LTD

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What are the Advantages of a Private limited Company?

- More Investors - Shareholdersd invest fore the long term - no profit=no dividends

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What are the Disadvantages of a Private limited Company?

- Sharholder conflict - More paper work - Lack of privacy

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Other cards in this set

Card 2

Front

PLC

Back

What is another name for a Public Limited Companys?

Card 3

Front

- Value of shares rise - Better access to capital - Liquidity

Back

Card 4

Front

- Must be atleast 2 shareholders before the Public Limited Company can be formed - Must be atleast two directors - Many Legal formalities to starting a Plc

Back

Card 5

Front

Back

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Private & Public Limited Companys