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Both private and public companies have limited liabilities- so it is not useful to state that as a difference. The difference between a PRIVATE company (Pty Ltd) and a public company (ltd) is that in a private company- the maximum number of people that can have shares in the company is 100 in which they have to be invited by the company. With PUBLIC companies, they are on the stock exchange market (In Australia the ASX) in which they have an unlimited number of shareholders and shares are issued via prospectus etc.

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12y ago
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11y ago
Private limited company (ltd) Public limited company (plc)

-Shares can only be bought from the -Shares can be exchanged at the

company with permission from the board Stock Market, anyone can buy it.

of directors. -Can have a very large amount of

-Usually small number of shareholders. shareholders.

-Have access to less capital than plc

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13y ago

the difference:a public limited company displays it's balance sheet while a private one does not, a public limited company also sells shares, on the contrary, a private one does not

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Q: What is the difference between the public and the private limited companies?
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