Public limited company

Public limited company should have:

· A name that ends with the words ‘public limited company’ (or the Welsh equivalent); permitted abbreviations are PLC, plc or Plc.

· An issued share capital with a nominal value of at least £50,000 and paid up share capital of at least £12,500 (or the equivalent in euros). A public company is subject to more stringent controls than a private one in a number of areas. Some of them are listed below.

· The rules on making loans to directors are more restrictive for all companies in a group where one of the members is a public company.

· A public company can purchase or redeem its own shares, but it can only pay for them by using those profits from which dividends can be paid. A private company, on the other hand, has the option of using its capital if distributable profits fall short.

· It is a criminal offence for a public company to give financial assistance for the purchase of its own shares, for example by lending money to someone buying a stake in the company. Since October 2008, there has been no equivalent ban for private companies.

· Many private companies are allowed to prepare abbreviated accounts each year. Public companies, on the other hand, have to prepare and file with Companies House a full set of accounts, and pay the added costs that may involve.

· A public company must have a company secretary and hold an AGM each year; a private company can dispense with both.

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to redeem – выкупать

to fall short – терпеть неудачу

to buy a stake – выкупить долю

abbreviated - сокращенный