1 The number of shareholders is different. The company laws of most countries in the world stipulate that a limited company has at least two shareholders and at most 50 shareholders (some stipulate 30 shareholders). There is no need to set up a shareholders' meeting because there are few shareholders. There is no limit to the number of shareholders in joint-stock companies, and some large companies have hundreds of thousands or even millions of people. Different from a limited liability company, it is necessary to set up a general meeting of shareholders, which is the highest authority of the company.
2. The registered capital is different. Limited companies require less minimum capital, and their registered capital standards vary according to the nature and scope of production and operation.
3. Share capital is divided in different ways. The shares of a limited company may not be divided into equal shares, and its capital shall be divided according to the capital contribution subscribed by shareholders. The shares of a joint-stock company must be equal, the division of its share capital is small, and the amount of each share is equal.
4. Sponsors raise funds in different ways. A limited company can only raise funds from promoters, but not from the public, and its shares cannot be publicly issued, let alone listed and traded. However, a limited company can raise funds from the society by means of initiation or raising, and its shares can be publicly issued and traded.
5. The conditions of equity transfer are different. Shareholders of a limited liability company may freely transfer all or part of their share capital according to law; When a shareholder transfers its share capital to a person other than the company according to law, it can only be implemented with the consent of more than half of the shareholders; Other shareholders of the company have the preemptive right under the condition of equal transfer of share capital. Shares held by shareholders of a joint stock limited company can be traded and transferred, but they cannot be withdrawn.
6. The authority of the company organization is different. A limited liability company has a small number of shareholders and a simple organization. It can only set up a board of directors, not a shareholders' meeting and a board of supervisors. Therefore, the board of directors is often held by individual shareholders, which has greater flexibility. The establishment procedure and organization of a joint stock limited company are complicated, and the number of shareholders is relatively large and scattered. Therefore, the authority of the shareholders' meeting is restricted to a certain extent, and the authority of the board of directors is concentrated.
7. The forms of proof of equity are different. The equity certificate of a limited liability company is the capital contribution certificate issued by the company; The stock certificate of a joint stock limited company is the stock issued by the company.
8. Different degrees of financial disclosure. The financial status of a limited liability company only needs to be handed over to shareholders within the time limit stipulated in the company's articles of association, and there is no need to announce and consult, and the financial status is relatively confidential; Limited by Share Ltd is difficult to operate and keep secret because of its complicated establishment and the need to publish its financial status regularly.
Legal basis:
Article 77 of the Company Law of People's Republic of China (PRC) * * * A joint stock limited company may be established by means of initiation or offering. A promoter refers to a company established by the promoters who subscribe for all the shares that should be issued by the company. The establishment by public offering means that the promoters subscribe for part of the shares that should be issued by the company and raise the remaining shares to the public or specific objects to establish the company.