Types of Companies
- Main Categories
- Private Company
- Cannot sell shares to general public
- The name end with Sdn. Bhd. (Sendirian Berhad)
- Example: Gift and Logo Sdn.Bhd.
- Public Company
- Raise capital by selling shares
- Run by a board of directors elected by shareholders
- The name end with Bhd. (Berhad)
- Example: Public Bank Berhad
- Based on Liability
- Company Limited by Shares
- Liability of the members are limited by shares in the memorandum
- A member cannot be asked to pay more than the amount unpaid on his shares when the company is wound up
- If he has paid in full for his shares, he cannot be asked for any further contribution
- Company Limited by Guarantee
- A member needs only to contribute the amount he agreed to guarantee
- Company Limited by Shares and Guarantee
- Mix of both Company Limited by Shares and Company Limited by Guarantee
- Unlimited Company
- The liability of the members to contribute to the assets of the company on winding up is not limited in any way
- The members will be liable to pay all the debts of the company
For more references, visit: http://www.kpmg.com.my/kpmg/publications/tax/I_M/Chapter2.pdf
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