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2. What is a Limited Company?
A limited company is a separate legal entity created by incorporation at Companies House.
Once incorporated Companies House issue a certificate and company registration number.
This becomes the company's ID so to speak. You can change the company's name at any time but you still keep
the registered number. The profits, losses, assets and liabilities belong to the company.
The company is then owned by its members (the shareholders) and run by the managing director or directors.
This gives the directors Limited Liabilities. If the company should fail the directors personal assets are protected.
Because a company has a life of its own the business can continue to trade despite the resignation or death of any
directors or shareholders. Other reasons for choosing a Limited company could include ownership of property,
obtaining outside finance, taxation, status and protection from risk
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