Liability in the case of a company limited by shares is limited to the amount unpaid on the shares held. Management of the company can be separate from ownership and therefore provides continuity after share holder changes. The taxation of companies is often more 'flexible 'than other types of organisations. A Limited Company is liable only for tax on its profits, and this is payable by the Company and not personally by the directors or shareholders. The profits of a company are not therefore subject to personal taxation higher rates.
Directors pay tax on their personal income.
The Company is taxed on profits after all expenses including directors remuneration have been deducted. Capital, to fund the company, may be obtained with relative ease when compared to other business types. Floating charges for example can be created over company assets but not partnership assets and borrowing may be by way of debentures. More formalities to be observed and therefore more publicity. All companies must file annual accounts with the company registrar.