These are types of companies

1. TYPES OF COMPANIES
1. PROFIT COMPANIES
PRIVATE COMPANY
 Incorporated by 1 or more persons for financial gain for the shareholders.
 Must have a minimum of 1 directors.
 This is a business structure for entrepreneurs to run their business with no limit on the
number of directors.
 Private companies are not allowed to offer securities to the public and is also
restricted from transferring its shares.
 Registered private companies are granted Proprietary Limited or "(Pty) Ltd” status.
 No annual audits required if all requirements are met (e.g. all directors are also the
only shareholders of the company).
PERSONAL LIABILITY COMPANY
 Incorporated by 1 or more persons for financial gain for the shareholders (owners).
 Must have a minimum of 1 directors.
 As a professional, you can register a company that you want to be personally liable
for.
 The Personal Liability Company and its directors, past and present, are jointly liable
for any debts and liabilities incurred.
 This type of company is registered by professionals such as Doctors, Lawyers,
Engineers, Accountants, etc.
 Registered personal liability companies are granted Incorporated (Inc) status.
 The company name ends with “Incorporated” or “Inc”.
2. NON PROFIT COMPANIES
 Incorporated by at least 3 persons for public benefit, social activities, communal or
group Interest, etc.
 Must have a minimum of 3 directors.
 The primary objective is to be a benefit to the public and not to make profit.
 Income/property may not be distributed to the incorporators, members, directors or
officers.
 Only reasonable compensation for services rendered by them may be be taken.
 The name of a non-profit company will end with “NPC”.