What are the advantages of public limited company advantages and the disadvantages?
What are the advantages of public limited company advantages and the disadvantages? Best answer: Answer by Sandy A public company has several advantages. It is healthy to raise funds and capital through the understanding of its securities. This is the reason why public corporations are so important, historically; prior to their existence, it was very difficult to obtain massive amounts of capital for private enterprises. In addition to the assist of raising capital, public companies might issue their securities as compensation for those that wage services to the company, such as their directors, officers and employees. While private companies might also issue their securities as compensation for services, the recipent of those securities often have difficulty selling those securities on the open market. Securities from a public company, typically have an established clean market value at any given time as determined by the price the security is sold for on the stock exchange where the
