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Private Limited Companies
Transcript of Private Limited Companies
Owner has limited liability
Makes financial information public
Board of directors run the company
They hold Annual General Meetings (AMGs) Small Single Owner
Businesses Large Multi-National Companies Private Limited
Companies Limited Liability : You (as an individual) are separte from your company, therefore, they can't take your belongings
Tax Advantage: Your company pays corparation tax, and is exempt of higher personal income tax Main Disadvantages Dillution of Power: The more shareholders your company has got, the less power you ultimately have (they may not choose YOU as the director)
Restricted Capital Raising: By law, private limited companies cannot get additional fundiang via the sales of shares Thank You Real World Example Bakery founded by Thomas Warburton in 1876
Became a Private Limited Company during the 1990s
Sells aprox. 21% of all baking products sold in the UK
Second best selling food and drink brand in the UK (after Coca-Cola)