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Public Limited Company: Features industry_commpany - Coggle Diagram
Public Limited Company: Features
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(c) ADVANTAGES
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Increased number of shareholders -boost employee's morale, retain loyal employees & the best among them (cream of the crop)
Offer wider finance opportunities due its increased creditworthiness when giving out debts/less hassle negotiation
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(d) DISADVANTAGES
Higher level of transparency - more details & info about the company's business & yearly performance must be revealed to 3rd party investors
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Ownership & control issues - stakeholders are more open & difficult to control them; shareholders can be demanding with their policies & standards in return of the investment made
Private Limited Company
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this type of company can own assets, bind a contract/sue other entities
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exempted from annual general meetings but any decisions made by the BOD will require the votes from shareholders
unable to raise funds for the public; can only sign for loans, funds from their existing investors sell off their existing assets