define limited liability
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The shareholders of the company are liable to pay the uncalled up amount of the share purchased by them. Unlike, the sole trade and the partnership trade the personal Assets of the shareholder cannot be utilised to pay of the business Liability. Hence the liability of the shareholder is limited and they already know it.
The shareholders of the company are liable to pay the uncalled up amount of the share purchased by them. Unlike, the sole trade and the partnership trade the personal Assets of the shareholder cannot be utilised to pay of the business Liability. Hence the liability of the shareholder is limited and they already know it.
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