Public Limited Company Definition
A public company has 7 or more members and enjoys the benefit of raising capital by inviting general public to subscribe to its shares whereas private company limits number of members to 200 and cannot invite general public to subscribe to its shares.
A public company enjoys many benefits as compared to private limited company such as raising reserves at a large scale, reducing debt etc. In case of private limited company, all reserves are raised by the existing members, shareholders and promoters and risk is also shared between the shareholders.
What Is Included In Our Package?
Minimum Requirements For Converting Private Limited Company Into A Public Limited Company
- Minimum 3 directors
- Minimum 7 shareholders
- DSC of 1 director
- DIN of all directors
- Minimum authorized share capital of Rs.5 Lakhs
- Minimum paid up share capital of Rs.5 lakhs.
- Director & shareholder can be the same person.