Private Limited Company By Shares
A private company limited by shares, usually called a private limited company (Ltd.) (though this can theoretically also refer to a private company limited by guarantee), is a type of company incorporated under the laws of England and Wales, Scotland, that of certain Commonwealth countries and the Republic of Ireland. It has shareholders with limited liability and its shares may not be offered to the general public, unlike those of a public limited company (plc).
"Limited by shares" means that the company has shareholders, and that the liability of the shareholders to creditors of the company is limited to the capital originally invested, i.e. the nominal value of the shares and any premium paid in return for the issue of the shares by the company. A shareholder's personal assets are thereby protected in the event of the company's insolvency, but money invested in the company will be lost.
A limited company may be "private" or "public". A private limited company's disclosure requirements are lighter, but for this reason its shares may not be offered to the general public (and therefore cannot be traded on a public stock exchange). This is the major distinguishing feature between a private limited company and a public limited company. Most companies, particularly small companies, are private.
Private companies limited by shares are usually required to have the suffix "Limited" (often written "Ltd" or "Ltd.") or "Incorporated" ("Inc.") as part of their name, though the latter cannot be used in the UK or the Republic of Ireland; companies set up by Act of Parliament may not have Limited in their name. In the Republic of Ireland "Teoranta" ("Teo.") may be used instead, largely by Gaeltacht companies. "Cyfyngedig" ("Cyf.") may be used by Welsh companies in a similar fashion.
Read more about Private Limited Company By Shares: Company Officers, Formation
Famous quotes containing the words private, limited and/or shares:
“But the abstract conception
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Becoming universal, which we call “poetry,”
May be affirmed in verse.”
—T.S. (Thomas Stearns)
“Psychology has nothing to say about what women are really like, what they need and what they want, essentially because psychology does not know.... this failure is not limited to women; rather, the kind of psychology that has addressed itself to how people act and who they are has failed to understand in the first place why people act the way they do, and certainly failed to understand what might make them act differently.”
—Naomi Weisstein, U.S. psychologist, feminist, and author. Psychology Constructs the Female (1969)
“When the wind carries a cry which is meaningful to human ears, it is simpler to believe the wind shares with us some part of the emotion of Being than that the mysteries of a hurricane’s rising murmur reduce to no more than the random collision of insensate molecules.”
—Norman Mailer (b. 1923)