Menu
unlimited company
what do we mean by unlimited liability in company
Replies (3)
Unlimited liability company means the liability of all members is not limited to its value of shares but more than that.
If you purchase shares of X limited company for RS 50000/- (100 Shares @ 500 Each) then your liability is upto 50000/- only irrespective of Company financial situation.
However in case of X unlimited company your liability is not only upto 50000/- but more than that also based on Company situation.
If you purchase shares of X limited company for RS 50000/- (100 Shares @ 500 Each) then your liability is upto 50000/- only irrespective of Company financial situation.
However in case of X unlimited company your liability is not only upto 50000/- but more than that also based on Company situation.
Sorry not satisfied with your answer
An unlimited company or private unlimited company is a hybrid company (corporation) incorporated with or without a share capital (and similar to its limited companycounterpart) but where the legal liability of the members or shareholders is not limited: that is, its members or shareholders have a joint, several and non-limited obligation to meet any insufficiency in the assets of the company to enable settlement of any outstanding financial liability in the event of the company's formal liquidation.
Recent Topic
- Ca pratik takkar imp list
- TDS EXECESS AMOUNT ADJUSTMENT
- What's the ONE thing about GSTR-2B / IMS reconcili
- Is GST Registration Mandatory for Freelancers in I
- ITR TO FILE
- Shift of Place of Business from one state to anoth
- Form 10E u/s. 89(1). Need clarification because Ex
- Long Term Capital Loss - Tata Capital unlisted sha
- Section 54F deduction - GST and Stamp Duty cost wh
- Professional Crossed 20 Laks in Dec 26 Failed to T
Related Topics
CAclubindia
