Companies
Owned by shareholders, managed by directors
Chartered companies (Royal Charter)
Statutory companies (Act of Parliament)
Registered companies approximately 3 million
o Public Company Limited by shares offer shares to public larger
minimum share capital requirements subject to additional requirements
on accounting may be listed on the stock exchange
o Private Company Limited by shares share capital small – medium
o Company Limited by Guarantee no share capital not for profit
organisations members rather than shareholders liability limited to the
amount they have undertaken to guarantee s.3 CA
o Unlimited Company can have share capital but no requirement
unpopular appropriate if small or if 2 companies come together
o Community interest company can have share capital depending on
structure e.g. private limited, public limited or limited by guarantee use
profits and assets for public good but not a charity.
• Private company s.4(1) CA
o ‘a company that is not a public company’
Public company s.4(2) CA
o 'a company limited by shares or limited by guarantee and having a share capital
a) whose certificate of incorporation states that it is a public company,
and
b) in relation to which the requirements of this Act, or the former CAs, as
to registration or re-registration as a public company have been
complied with on or after the relevant date.
Private Limited Company
Name ends in Limited or Ltd
No minimum share capital
May not offer shares to the public s.755 CA would have to turn into a public
limited company.
Must have at least one director s.154(1) CA.
No requirement to have a company secretary may have one to deal with CH filing
requirements.
Public Limited Company
Name ends in public limited company or plc.
May sell shares and loan stock to the public.
s.763 CA minimum allotted share capital of £50,000
25% of share capital must be paid up together with any premium on shares.
May be listed on the Stock Exchange, AIM (alternative investment market) or
another market but not obligatory
S.154(2) CA minimum of 2 directors.
Owned by shareholders, managed by directors
Chartered companies (Royal Charter)
Statutory companies (Act of Parliament)
Registered companies approximately 3 million
o Public Company Limited by shares offer shares to public larger
minimum share capital requirements subject to additional requirements
on accounting may be listed on the stock exchange
o Private Company Limited by shares share capital small – medium
o Company Limited by Guarantee no share capital not for profit
organisations members rather than shareholders liability limited to the
amount they have undertaken to guarantee s.3 CA
o Unlimited Company can have share capital but no requirement
unpopular appropriate if small or if 2 companies come together
o Community interest company can have share capital depending on
structure e.g. private limited, public limited or limited by guarantee use
profits and assets for public good but not a charity.
• Private company s.4(1) CA
o ‘a company that is not a public company’
Public company s.4(2) CA
o 'a company limited by shares or limited by guarantee and having a share capital
a) whose certificate of incorporation states that it is a public company,
and
b) in relation to which the requirements of this Act, or the former CAs, as
to registration or re-registration as a public company have been
complied with on or after the relevant date.
Private Limited Company
Name ends in Limited or Ltd
No minimum share capital
May not offer shares to the public s.755 CA would have to turn into a public
limited company.
Must have at least one director s.154(1) CA.
No requirement to have a company secretary may have one to deal with CH filing
requirements.
Public Limited Company
Name ends in public limited company or plc.
May sell shares and loan stock to the public.
s.763 CA minimum allotted share capital of £50,000
25% of share capital must be paid up together with any premium on shares.
May be listed on the Stock Exchange, AIM (alternative investment market) or
another market but not obligatory
S.154(2) CA minimum of 2 directors.
