answersLogoWhite

0


Best Answer

following are the advantages of public limited company:

  • limited liability
  • share issued to public
  • large capital
  • distribution of workload
  • team work
  • centralization system

following are the disadvantage of public limited company

  • lack of secrecy
  • leg pulling
  • lack of interests of employees
  • government restrictions.
User Avatar

Wiki User

12y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What are the advantages and disadvantages of a public limited company?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Accounting

Analyze the benefits which a private limited company might gain by becoming a public limited company?

A public limited companies is a small to medium sized business owned by shareholders who are often members of the same family or friends.


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 advantages and disadvantages of quality standards?

+Repeat business due to good public image -Have to invest and retain this to keep the quality up


What are examples of public corporation in the UK?

Central Electricity Board is one example. Its like an LTD ( private limited company ) but without the shares


What is meant by company form of organization?

Rocket 356: Today there are different types of business organisations in world like1. Sole Proprietorship firm2. Partnership FirmThese firm's are nor suitable for large scale business because they have certain disadvantages like:1. Limited Resources2. Limited Managerial Skills3. Unlimited Liability i.e the accountability rests totally on the owners's shoulders4. The organisation's depend on the life and stability of the proprietorLarge scale businesses require1. Large amount of resources2. Specialised managerial skills3. Limited liability, i.e this is useful for Owner's of the companies because any loss incurred by the company will be distributed among shareholders4. There is no effect on the working of the organisation even if all the members of the company dieThese requirement's are met in a company form of organisation. After a firm register's itself as a company form of organisation it can freely sell its shares to 50 people in case of a private limited company and to any number of people in case of a public limited company.HOPE MY ANSWER WAS USEFUL FOR YOU

Related questions

Advantages and disadvantages of a public limited company?

Advantages for public limited companies include unlimited liability of shareholders, legal entity (operations are unaffected by shareholder death), and no limit on the number of shareholders who can raise capital. Disadvantages include problems managing a large company, slow-decision making process and loss of control by the original founder (s).


Disadvantages of Private limited company?

Disadvantage of a private limited bank is that they cant raise capital through public offering . They should have their own capital for the company.


Advantages and disadvantage of public enterprises?

elimination


Is the business Tesco a public limited company or a private limited company?

Public limited company


What are the advantages and disadvantages of public finance?

Difficult in pricing


What are the advantages and disadvantages of share issue?

One of the biggest disadvantages of share issue for a company is that the company become dependent on the public after the issue. An advantage to share issue is that the company becomes more profitable.


Is the limited company called as public limited company?

Limited company can be public or private. There is no necessary a limited company should be a public company. Public companies are those company which are registered with company act 2013 under section 2(71). However a public company must be have a limited liability.


Hsbc is private limited or public limited company?

HSBC is Public Limited Company


Is eBay a private limited company or a public limited company?

public


Is Microsoft a public limited company or a private limited company?

It's a public limited company.


Who owns a public limited company?

A public limited company is owned by its shareholders


Is argos a public limited company?

Yes, Argos is a public limited company, It is a large company and it also sells shares to the public