A limited company is a company ‘limited by shares’ or ‘limited by guarantee’.
The most common limited company is limited by shares and are usually businesses:
- that make a profit
- has shares and shareholders
- can keep any profits it makes after paying tax
The limited by guarantee companies are usually:
- not for profit
- has guarantors and a guaranteed amount
- invests profits it makes back into the company
You will get a ‘certificate of incorporation’.
This confirms the company legally exists and shows the company number and date of formation.
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