(BM1) LTD or PLC discussion by Karen Cheung

Karen Cheung

KarenCheung — 2014-08-04 08:30:46 UTC

Does being public limited companies (PLC) mean bigger and better? Why do some companies remain as LTDs?

http://www.cnbc.com/id/47979116#.

http://www.bbc.co.uk/news/business-12334757

Karen Cheung

KarenCheung — 2014-09-22 02:08:54 UTC

How big is 'big business'? How can we measure the size of business?

kklcheung1 — 2021-08-31 02:05:54 UTC

How big is ‘big’? How can we measure the size of business?

Isa

Isalau — 2021-08-31 02:06:45 UTC

I think that being a PLC might mean that it’s bigger, because of the huge source of income from public shares, but it doesn’t necessarily mean that it’s better in the sense that you don’t have as much control compared to a LTD. We can measure the size of a company by how much turnover they make annually, or how many employees they have.. etc. Some companies might remain as LTDs because they might want to keep the business amongst close family and friends, or might find reporting company statistics to the public to be disadvantages.

Janice

2021-08-31 02:08:39 UTC

Staying in LTD. gives the company more freedom to choose its investors and to retain the business focuses and strategies

Thomas

2021-08-31 02:10:24 UTC

I think that the method of measuring a business can refer to the company overtaking, market share and sales revenue

Caden

2021-08-31 02:11:46 UTC

PLC is bigger as it allows for the public to invest as a shareholder. Raising finances are relatively easier, meaning that the chances of bankruptcy are lower. However the control aspect is easily be able to taken by the public. LTD remain as LTD companies for specific reasons, as they want more control and higher pay from the profits.

Jeff

2021-08-31 02:13:39 UTC

indeed, being PLC can raise finance easily through stock exchange, which LTDs cannot. However, when becoming a PLC, meaning there will be more sophisticated paper work and legal requirements to fill in. Also, PLC will have less privacy as the corporations will need to list out its reports to the public(the annual sales), which some company will choose to remain as LTDs

Ewun

2021-08-31 02:15:12 UTC

I think being a PLC means it’s bigger but not better. As PLC will list their shares in the stock, and the result aren’t good for many companies, by the measurement of shares could determine being PLC won’t be better but only bigger as there are many shareholders from the public.

Cherie

2021-08-31 02:17:00 UTC

To determine the size of the business, it could consider the ranking of the business in the same category market globally, numbers of employees, sales revenue or market shares. The major reason for company to remain in private limited company will be having the freedom and control to choose their investor and it retain the quality to focus on their skills and strategy.