Public Limited Company (PLC)

Public Limited Company (PLC)

• A business whose ownership is traded on a stock exchange.
• Shares can be bought and sold by anyone.
• Public companies are strictly regulated.
• Public companies are required by law to publish their accurate accounts. 

Advantages of PLC

1. Limited liability.
2. Easier to raise finance.
3. Anyone can buy shares.

Disadvantages of PLC

1. Not all shareholders can not control the direction of the firm.
2. Shareholders primary objective might just be to profit maximise.
3. Plc’s are more vulnerable to takeovers.
4. Public limited companies are not as private as other business forms.
5. Public companies are required by law to publish their accurate accounts. 
6. Public companies are strictly regulated.