Question Tag: Types of Companies

• Private Company Limited by Shares: A company having the liability of its members limited to the amount, if any, unpaid on the shares respectively held by them. The number of its members must not exceed 20.
• Private Company Limited by Guarantee: A company having the liability of its members limited to such amount as the members may undertake to contribute to the assets of the company in the event of its being wound up. This refers to charitable organizations that are not supposed to make a profit.
• Private Unlimited Company: One not having any limits on the liability of its members as the name suggests.
• Public Company Limited by Shares: A company having the liability of its members limited to the amount, if any, unpaid on the shares respectively held by them. The number of members does not have any limits.

(4 points at 3 marks each = 12 marks)