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Nope. That's not going to happen, well not for long anyway!
Why couldn't a company exist without shareholders or owners? If the company has shares outstanding worth a million dollars, the company can take out a loan or issue bonds for a million dollars and buy the shares back. Then, once the loans/bonds are paid back the company exists as an independent entity not beholden to anyone for it's existence.
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∙ 13y ago
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Characteristics of a public company?
It has a limited liability business that offers stock, bonds or loans to the public. It can sell share on the stock exchange. It raises more capital
Define public company?
The public company enterprises work with the main motive of providing service to public. A public company is a company who offers stock to the general public. Anyone can buy a share or multiple shares of stock at that point owning part of that company.
What is the difference between a limited company and public limited company?
PLC's share holdings are usually sold to the public, ie the public part own them. Limited companies, the shares stay in the company with the directors holding them, they cannot sell them to the public.
What is difference between listed and unlisted company?
Sec 2(23A) "listed public companies" means a public company which has any of its securities listed in any recognized stock exchange. You also can see Form of annual return of a company having a Share capital SCHEDULE V, PART II, from there you easily identify that whether the company is listed or not. Each company (Indian or foreign) has a unique CIN (Corporate Identity Number).If the CIN starts with "U" then its Unlisted and if it starts with "L", its listed.
Can a company shareholder sell his share of a company without the consent of the other shareholders?
A shareholder owns his or her shares. The shareholder needs no ones permission to sell what they own.
What is share capital and how raising share capital?
Share capital is the investment in company from public to earn profit and it can be raised by offering shares to public for purchase.
Authorized and issued share capital?
Authorized share capital is that maximum amount of share capital a company can do it’s business and return in article of association of company and company cannot raise more capital then this limit unless changes the limit of authorized capital.Issued share capital is that amount of capital which is issued to public for purchase or invest in company.
What do you understand of share capital?
Share capital is that amount which invest by shareholders of company in business and which a business acquires from general public to fulfil its working capital requirement as well as to enhance the business as well.
If Thirty five percentage of paid up capital of a private company is held by a public company does the private become a public company?
No, a private company remains private even if a public company holds a percentage of its paid-up capital. The status of a company as public or private is determined by its articles of association and the provisions of the Companies Act in the relevant jurisdiction.
What is Share issue?
Shares initially sold to an investor and then subsequently repurchased by the issuing corporation. These share are no longer outstanding but remain issued until the corporation cancels them, if it ever does cancel them. Shares issued are not included in the market capitalization calculation.
What is nominal share capital?
Nominal share capital is like an authorized share capital. The share capital that the company allowed (the maximum amount) to issue as registered capital when the company is incorporated. It can be changed later by the approval of the shareholders.
What is equaty share?
Equity share is one share from all share capital of company and it is basic non devisable unit of measure of capital of company.
What is nominal share?
Nominal share capital is like an authorized share capital. The share capital that the company allowed (the maximum amount) to issue as registered capital when the company is incorporated. It can be changed later by the approval of the shareholders.
What is a company limited by shares?
a company limited by share has no share capital.
Difference between share and share capital?
Shares are units into which the capital of a company is divided. Share Capital is the total amount of money contributed by the shareholders of the company, over which they will have claim at the time of liquidation of the company.
Advantages of a public company?
Advantages include: increased capital, increased public awareness, increase in market share, and offers exit strategy. Small companies looking to further the growth of their company often go public as a way to generate the capital needed to expand.
What are the difference between equity share capital and preference shares capital and examples?
Preference share capital is type of capital which has preference on other type of share capital as preference share capital may have more profit ratio than other and it is paid first from profit of company and preference share holders get there share even if company has earn no profit. Equity share capital is share capital on which share holders get share from profit in the last after paying every other obligation on company. Detail answer available in related link.
