As per Lawkidunya, There are several types of companies in Pakistan, each with its own unique characteristics and advantages. Here are the main types of companies:
– Sole Proprietorship: A business owned and operated by one individual, with unlimited personal liability.
– Partnership: A business owned and operated by two or more individuals, with shared profits and losses.
– Private Limited Company (Pvt Ltd): A separate legal entity with limited liability for shareholders, requiring at least two shareholders.
– Public Limited Company: A company listed on a stock exchange, with shares available for public purchase and a minimum of seven shareholders.
– Limited Liability Company (LLC): A flexible business structure that combines elements of partnerships and corporations, with limited liability for members.
– Single Member Company (SMC): A private limited company with only one shareholder, offering full control and limited liability.
– Non-Profit Organization (NPO): A company formed for charitable, educational, or social purposes, with tax exemptions and fundraising challenges.
– Foreign Company: A company incorporated outside Pakistan, but operating within the country and required to register with the Securities and Exchange Commission of Pakistan (SECP).
– Cooperative Society: A member-owned business with shared benefits and democratic management, often formed for social or economic goals.
– Company Limited by Shares: A company where shareholders’ liability is limited to their share capital.
– Company Limited by Guarantee: A company where members guarantee a certain amount in case of winding up.
– Unlimited Company: A company where shareholders’ liability is unlimited.