PUBLIC COMPANY AND PRIVATE COMPANY

PUBLIC COMPANY

            A public company means a company which is not a private company.

            A public company can be a listed company or unlisted company.

PRIVATE COMPANY

Ø      A company which by it article;

·        Restrict free transfer of share

·        Limits the numbers of members to 50

·        Prohibits invitation to public to subscribe for shares.

Ø      A private company can either be a

·        Single member company

·        Other private company

PUBLIC COMPANY	PRIVATE COMPANY
Public subscription Can invite general public for subscription of shares.	Can not invite general public for subscription of shares.
Free transfer of shares Its shares are freely transferable	Restricts free transfer of shares.
Minuimum number of members Listed company (7 members) Unlisted company (3 members)	Single member company (1 member) Other private company  (2 members)
Maximum numbers of members No upper limit for maximum numbers of members	Maximum numbers of members shall not exceed 50, (excluding employees members)
Certificate of commencement of business required	Not required
Prospectus and SILP Required Prospectus (listed co.) SILP (unlisted co.)	Not required
Minimum subscription Required before obtaining certificate of commencement of business.	Not required
Filing of accounts Required to file accounts to the registrar.	Not required
Qualification of auditor Chartered accountant	No formal qualification required (Chartered accountant where share capital exceed 3 million)
Investment in associated company Restricted	Not restricted
Business of CEO Restricted to carry competitive business	No such restriction.
Statuary meeting Required	Not required
Filing of statuary report Required	Not required
Quorum ·        Unlisted company (2 members in person having at least 25% of voting power through their own account or proxy) ·        Listed company (10 members in person having at least 25% voting power through their own account or proxy)	·        Single member company (1 member in person or through proxy) ·        Other private company (2 members in person having at least 25% of voting power through their own account or proxy)

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