Limited Liability
Liability in a limited liability corporation confines members' legal responsibility to the extent of their shareholdings, shielding them from full financial obligation.
Fundraising Easy
Private limited companies gain popularity for their ability to attract investors through share issuance, borrowing, or issuing bonds, facilitating finance from high-net-worth individuals.
Continued Existenc
'Perpetual succession' in a Private Limited Company denotes its continuous existence until legally dissolved, as it remains unaffected by member changes or departures.
Legal Entity
Upon incorporation, a private limited company obtains a separate legal status from its shareholders and directors. Only shareholders can claim money from the company's obligations.
Management flexible
Directors and managers of private limited companies hold ultimate authority over management, while shareholders exert control through a board of directors and committee appointments.