The difference of private & public company
Are you having hard time to decide which types of companies that you wish to registered?
Worry no more below are the differences between Private Company and Public Company that will help you to decide :
Private Company (Sdn Bhd)
Public Company (Bhd)
1. Not more than 50 shareholders
2. Cannot offer shares, debenture and invite public to deposit money
3. Commencement of business and borrowing power immediately after incorporation – S.190
4. Appointment or reappointment of directors can be passed by written resolution in accordance with – S.297
5. At least one resident director
6. The name of company end with Sendirian Berhad or Sdn. Bhd.
7. Do not need to hold Annual General Meeting (AGM)
8. No need to disclose financial statement to public
1. More than 50 shareholders
2. Can offer shares, debentures and invite public to deposit money.
3. Must submit a statement in lieu of prospectus & a statutory declaration by a director or secretary first in order to commence its business and borrowing power – S.190 (2)
4. Director to be appointed or re-appointed at general meeting must be done by separate resolution, unless members agreed to appoint by a single resolution.
5. At least two resident director
6. The name of company end with Berhad or Bhd.
7. Compulsory to hold Annual General Meeting (AGM)
8. Need to disclose financial statement to public