0(Company) A voluntary association formed and organized to carry on a business.
It is of various types, like partnership, limited liability, corporation, public limited company.
(Private Company) Business firm in the private (non-public) sector of an economy, controlled and operated by private individuals (and not by civil servants or government-employees). Used also as an alternative term for private limited company.
Features of a private company: –
- It is generally known as small company, which is not listed in exchanges.
- Minimum capital of Rs. 100000/-.
- Employee range from 2 to 200.
- Annual turnover less than Rs. 2 cores.
- It’s paid of share capital doesn’t exceed Rs. 50 lakhs.
- Appoint at least 2 directors.
(Public Company) Business firm in the public (non-private) sector of an economy, controlled and operated by civil servants or government personnel (and not by private individuals). Used also as an alternative term for public limited company.
Features of a public company: –
- Companies held by board of directors. Normally it compromises Minimum 2 to maximum 12. These are elected by the share holders by the shareholders in the time of board meeting.
- This company does not belong to any person, since one person own parts of it.
- Minimum number of seven shareholder or members and a limitless number of members.
- Shares of the company can bought and sold in stock market.
