Advantage of joint stock companies, Finance Basics

Advantage of Joint Stock Companies

  • The company can own assets and incur liabilities on its own accord.
  • Perpetual existence as or going to relate that allows the company to create strategic plans to raise finance in Capital Markets more simply.
  • Limited liability.
  • Title to share is freely transferable that creates these shares more of an investment.
  • Exception - Private limited companies whose transfer of shares requires the consent of its members.
  • Large sources of finance.
  • Shares may be needed as securities.
Posted Date: 1/29/2013 2:18:24 AM | Location : United States

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