Is a limited company a limited liability company?

Yes, limited company is short for limited liability company. Legally, limited liability company and limited company refer to the same type of enterprise form. It is usually composed of small shareholders who contribute capital and enjoy relatively independent legal person status. Moreover, the shares or equity issued by its company are also limited and need to be approved by the government and regulatory agencies.

The main characteristics of a limited company are: shareholders have relatively independent investment, and whether the enterprise is profitable or not, the biggest personal loss of shareholders is all the stocks or equity they hold; The company name must contain the word "limited" for identification. Company property is independent of the personal property of shareholders. In case of company default crisis, debt recovery, bankruptcy, etc. Shareholders only need to bear personal responsibility for their capital contribution.