What is the difference between ltd and Pvt Ltd?

Posted on 22nd Aug 2018 | 1140 views

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Difference between a private and public company is that a PVT ltd company referred to a private company when private hands here own the share of the company the public company is Ltd. In Ltd, shares are open to the public for buying and selling.

Difference between a private and public company

The main difference between Ltd and Pvt Ltd that there is a variation between shareholders and types of share owned. In private Ltd, the margin no of shareholders are two and the ceiling is 50. However, in a public limited company, the minimum shareholders are seven and there no limit to the maximum shareholder.

In public companies, the share transferred freely, with no hassle, but this is not possible in Private Company. If a private company shares transferred, the shareholders of the company consent are needed for every transaction.

These companies cannot conduct public offers or announcement. Whereas a public company can advertise their announcements.

Shares of the limited company are registered in the stock exchange and private limited company trading does not take place. We can say the private company is based on partnership; a public company is a corporate body. In some cases, the government or the public who has the share in it controls public corporations. However, in the case of the private company the power and ownership is concentrated in the certain group of shareholders.

The public company comes with specific rules and regulations as per the requirements and private company the major shareholders apply rules

In conclusion, an Ltd is called the public company and Pvt Ltd is known as a private company. The promoter but not a few as the private company own a private company owned by the promoter and public company as it is owned by the public itself.

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