Ownership and Shareholding:
Pvt Ltd: Closely held structure with a minimum of 2 members (up to a maximum of 200). Shares are privately held and restrictions can be placed on their transfer.
Public Ltd: Owned by the public, with a minimum of 7 members and no upper limit. Shares are freely traded on stock exchanges.
Capital Requirements:
Pvt Ltd: Minimum paid-up capital of ₹1 lakh (₹100,000).
Public Ltd: Minimum paid-up capital of ₹5 lakh (₹500,000).
Regulations and Compliance:
Pvt Ltd: Less stringent regulations compared to Public Ltd companies. Fewer disclosure requirements.
Public Ltd: Subject to stricter regulations and higher compliance costs due to public ownership and listing on stock exchanges.
Raising Capital:
Pvt Ltd: Limited access to capital through bank loans, venture capitalists, or private investors.
Public Ltd: Can raise large amounts of capital through public offerings of shares on stock exchanges.
Suitability:
Pvt Ltd: Ideal for small and medium-sized businesses seeking flexibility and control.
Public Ltd: Suitable for larger businesses requiring significant capital and aiming for growth through public investment.
https://www.registerkaro.in/types-of-companies