What are the benefits of public ltd company registration

Public limited Company is registered under the Company Act 2013. There are numerous benefits of registration as a Public Limited Company. Few of them are:

Enhanced Borrowing Capacity: Registration as a Public Limited Company enhances the borrowing capacity of firms. They can borrow capital from financial organizations as well as from individuals as well.

Improved Credibility: Registration as a Public Limited Company improves a firm’s credibility and image in the market.
Separate Legal Entity: A Public Limited Company is a separate legal entity from its Directors and Members. It means that the director’s and member’s liability is limited upto a particular amount.

Can be listed on the Stock Exchange: A public limited company can be listed on the stock exchange by following due process.

Limited Liability: A Public Limited Company offers limited liability shielding to its stockholders. In any unforesen event, like huge debt accumulation, the shareholders and their assets are protected and responsibility lies on the company to fulfill debt obligations.

Better Growth Prospects: There is high growth potential in Public Limited Company.

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