1. Ownership: A Private Limited Company (LTD) is owned by a small group of people who are closely held, often family members or friends. On the other hand, a Public Limited Company (PLC) is owned by the public who buy shares through the stock exchange.

2. Share Transferability: In a LTD, shares cannot be freely transferred between members and the public without the agreement of other shareholders. In a PLC, shares can be freely bought and sold by the public on the stock exchange.

3. Number of Shareholders: A LTD can have a minimum of two shareholders and a maximum of 50, excluding employees. A PLC must have a minimum of seven shareholders and there is no maximum limit.

4. Disclosure of Information: A PLC is required to disclose more information to the public, including annual accounts and reports, due to its public nature. A LTD has less stringent requirements and does not need to disclose as much information.

5. Capital: A PLC can raise capital by selling shares to the public and can therefore potentially raise more funds than a LTD. A LTD can only raise capital from its existing members and any new members they agree to admit.

6. Legal Formalities: A PLC has more legal formalities and regulations to comply with due to its public nature. A LTD has fewer legal formalities and regulations.

7. Continuity: A PLC has perpetual succession, meaning it continues to exist even if all its members die or desert it. A LTD does not have perpetual succession and can be easily dissolved.

8. Management: In a PLC, management is usually separated from ownership. The shareholders elect a board of directors to manage the company. In a LTD, the owners often manage the company themselves.

9. Liability: In both types of companies, the liability of the shareholders is limited to the amount unpaid on their shares. However, in a PLC, due to the larger number of shareholders, the risk is spread out more.

10. Public Perception: PLCs are often perceived as more reputable and stable due to their size and the regulations they must comply with. LTDs may not have the same level of public trust.

Question

1. Ownership: A Private Limited Company (LTD) is owned by a small group of people who are closely held, often family members or friends. On the other hand, a Public Limited Company (PLC) is owned by the public who buy shares through the stock exchange.

2. Share Transferability: In a LTD, shares cannot be freely transferred between members and the public without the agreement of other shareholders. In a PLC, shares can be freely bought and sold by the public on the stock exchange.

3. Number of Shareholders: A LTD can have a minimum of two shareholders and a maximum of 50, excluding employees. A PLC must have a minimum of seven shareholders and there is no maximum limit.

4. Disclosure of Information: A PLC is required to disclose more information to the public, including annual accounts and reports, due to its public nature. A LTD has less stringent requirements and does not need to disclose as much information.

5. Capital: A PLC can raise capital by selling shares to the public and can therefore potentially raise more funds than a LTD. A LTD can only raise capital from its existing members and any new members they agree to admit.

6. Legal Formalities: A PLC has more legal formalities and regulations to comply with due to its public nature. A LTD has fewer legal formalities and regulations.

7. Continuity: A PLC has perpetual succession, meaning it continues to exist even if all its members die or desert it. A LTD does not have perpetual succession and can be easily dissolved.

8. Management: In a PLC, management is usually separated from ownership. The shareholders elect a board of directors to manage the company. In a LTD, the owners often manage the company themselves.

9. Liability: In both types of companies, the liability of the shareholders is limited to the amount unpaid on their shares. However, in a PLC, due to the larger number of shareholders, the risk is spread out more.

10. Public Perception: PLCs are often perceived as more reputable and stable due to their size and the regulations they must comply with. LTDs may not have the same level of public trust.

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