The difference between joint-stock enterprises and limited liability companies

Legal analysis: A limited liability company is jointly funded by two or more shareholders, and each shareholder is liable to the company to the extent of its capital contribution, and the company is liable to the company's debts with all its assets. A company limited by shares, with a registered capital of equal shares, raises funds by issuing shares. Shareholders are liable to the company to the extent of their shares, and the company is liable to its debts with all its assets.

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

Article 26 The registered capital of a limited liability company is the capital contribution subscribed by all shareholders registered with the company registration authority. Where laws, administrative regulations and decisions of the State Council have other provisions on the paid-in registered capital and the minimum registered capital of a limited liability company, those provisions shall prevail.

Article 77 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.