Question

Difference between proprietary firm and private limited firm

Answer 1

Proprietary firm: This is the firm in which only one mortal is the owner, who is called the "proprietor". He is the direct mortal of profits & losses. He has the right to take decisions individually.

Private limited firm: A private limited firm or LTD, is a type of privately held small business entity, in which owner liability is limited to their shares, the firm is limited to having 50 or fewer shareholders, and shares are prohibited from being publicly traded. A company becomes an independent legal structure when it incorporates.