Public Limited Company

Shareholders’ Limited Liability

In a Public Limited Company, the accountability of the Shareholders and Directors is limited according to the amount of the shares they own in the organization. For instance, if the public limited company face any financial emergencies, the personal assets of the shareholders will not be affected as per the regulations.

Distinct Legal Entity

In a Public Limited Company, the existence of the entity does not depend on any individuals’ presence in the organization. For example, any Shareholder or Director may leave the organization without affecting the actuality of the particular Public Limited Company.

Listing in the Stock Exchange

Unlike a Private Limited organization, Public Limited companies can list themselves to the IPO (Indian Public Offerings) and the popular Stock Exchanges. This leads to several business-related benefits and opportunities.

Countless sources for Fund-Raising

A Public Limited Company can raise its resources by crowd-funding or from the common people’s involvement following the legal aspects. It helps an entity surviving in the marketplace and going for new ventures with ease.

Cautious on Business Transparency

As a Public Limited company involves public interaction and involvement in all the stages, the organization always looks for clarity in the business operation by publishing the Audit Credentials, Statutory Reports to its people.

Upholds the Brand Position in Marketplace

It is always beneficial for an organization while being registered as a Public Limited company. Being listed in the Stock Exchange and publishing the reports to its people enhances its Brand Image and reputation in the market.

Simple Transferability of Shares

Following the regulations of the Companies Act, 2013, the shares of a Public Limited company can be transferred without any hassle. Added on that, being listed in the Stock Exchange andtransferability feature, people are always willing to invest leading to financial aids for the same.