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Bot GPT 3.5 1. Ownership: A share company is owned by shareholders, who hold ownership stakes in the company in proportion to the number of shares they hold.
2. Limited Liability: Shareholders in a share company have limited liability, which means their personal assets are protected from the company's debts and liabilities. They are only liable for the amount they have invested in the company.
3. Transferability: Shares can be easily bought and sold, allowing shareholders to transfer their ownership stakes in the company to others.
4. Separate Legal Entity: A share company is a separate legal entity from its shareholders. It can enter into contracts, own assets, and be subject to legal proceedings in its own name.
5. Management Structure: Share companies typically have a hierarchical management structure, with a board of directors overseeing the day-to-day operations of the company and making strategic decisions.
6. Capital Raising: Share companies can raise capital by issuing additional shares to new investors or by offering existing shares to the public through an initial public offering (IPO).
7. Regulatory Compliance: Share companies are subject to various regulatory requirements and reporting obligations, such as filing annual reports and holding annual general meetings with shareholders.
8. Dividends: Shareholders of a share company are entitled to receive dividends, which are a portion of the company's profits distributed to shareholders.
9. Voting Rights: Shareholders usually have voting rights, which allow them to participate in important decisions of the company, such as the appointment of directors or approval of major transactions.
10. Perpetual Existence: A share company has perpetual existence, meaning it continues to exist even if shareholders change or pass away. This allows for continuity and long-term business planning.