private limited companies Flashcards
1
Q
private lc
A
- owned by shareholders
- managed by director
2
Q
pros of private limited company
A
limited liability
- assets not at risks
-additional source of finance
- by selling shares
- control on who shareholders are
less risk of conflict between owners and manager s
3
Q
features of private limited company
A
shareholder known to company
- shares not sold on stock exchange
-shareholder loses , limited to their investment they made in bus
4
Q
cons of private limited company
A
no access to stock exchange
- smaller amounts of finance
share profits
- more shareholders = diluted profits
