What's the difference between a trading company and a limited company?

Legal analysis: 1. Their registered capital is different:

1. Registered capital of trading company: the minimum registered capital requirement is 30,000; The minimum registered capital ratio is 10% and 90%.

2. Registered capital of a limited company: the minimum registered capital requirement is 65,438+10,000 yuan.

Second, the overview of the two is different:

1. Overview of registered trading company: The main business of trading co., Ltd. is commerce, shops and commercial institutions. Trade is logistics and commodity turnover. Generally speaking, it is a limited liability company centered on shops.

2. Overview of Limited Company: A limited liability company, referred to as a limited company for short, refers to an economic organization registered in accordance with the Regulations of the People's Republic of China on the Administration of Company Registration, which is established by shareholders with less than 50 employees. Each shareholder is limited to the amount of capital subscribed, and the company as a legal person takes full responsibility for the company's debts with all its assets.

Third, their advantages are different:

1. Advantages of registered trading companies:

(1) 1. Change the paid-in registration system of registered capital into the subscription registration system.

(2) Secondly, relax the registration conditions of registered capital.

(3) Third, simplify the registration items and certificates.

2. Advantages of Limited Company:

The advantage is that the establishment procedure is relatively simple, and there is no need to issue an announcement or account number. In particular, the company's balance sheet is generally not open, and the company's internal institutions are flexible. 2. Registered capital of a limited company: the minimum registered capital requirement is 65,438+10,000 yuan.

Legal basis: People's Republic of China (PRC) Company Law.

Article 8 A limited liability company established in accordance with this Law must indicate the words limited liability company or limited company in its name. A joint stock limited company established in accordance with this law must indicate the words joint stock limited company or joint stock company in its name.

Article 9 When a limited liability company is changed into a joint stock limited company, it shall meet the requirements of a joint stock limited company as stipulated in this Law. When a joint stock limited company is changed into a limited liability company, it shall meet the conditions of a limited liability company as stipulated in this Law. Where a limited liability company is changed into a joint stock limited company, or a joint stock limited company is changed into a limited liability company, the creditor's rights and debts before the company change shall be inherited by the changed company.