Legal analysis: Limited company is a limited liability company, and it is an enterprise legal person established under the conditions stipulated in the Company Law and relevant laws. Shareholders are liable to the company to the extent of their capital contribution, and the company is liable to the company's debts with all its assets. Its main features are as follows: (1) Shareholders bear limited liability with their capital contribution; (2) The company is liable for debts with its assets. (3) The number of shareholders of the company meets the statutory requirements. A limited liability company shall be established by more than two shareholders and less than fifty shareholders. But as a special limited liability company, a wholly state-owned limited liability company can have one shareholder. (4) The equity transfer shall comply with legal procedures and the provisions of the Articles of Association. (5) The company cannot publicly offer shares or issue shares. The funds needed for the company's production and operation can only be obtained by other legal means. In other words, if a limited company goes bankrupt and owes money to others, it only needs to auction off all the company's things, even if it is not enough, it will stop here and there is no need to pay it back. Unlimited liability company means that you have to pay back as much as you owe others. If the company doesn't have enough money to auction, you need to repay your private property.
Legal basis: Article 3 of People's Republic of China (PRC) Company Law is an enterprise legal person with independent legal person property and legal person property rights. The company is liable for its debts with all its property. Shareholders of a limited liability company shall be liable to the company to the extent of their subscribed capital contribution; Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.