Limited Companies

Limited Companies

1. Definition: a private company whose owners are legally responsible for its debts only to the extent of the amount of capital they invested.

2. A private limited company (ltd): is often a small business such as an independent retailer in a market town. Shares do not trade on the stock exchange.

3. A public limited company (plc) is usually a large, well-known business. This could be a manufacturer or a chain of retailers with branches in most city centres. Shares trade on the stock exchange.