PLC - Public Limited Company Incorporation
We can incorporate a PLC (Public Limited Company) for you our standard
fee for doing this is £500
PLC (Public Limited Company) - Frequently Asked Questions
Please see below some frequently asked questions about Public Limited
Companies
1. What is a public limited company?
2. Are there any other restrictions on a PLC?
3. What then is the advantage of a public company?
1. What is a public limited company?
A public limited company is a company which is registered as such
and complies with the following:
It must state that it is a public limited company both in its memorandum
and in its name. The memorandum must contain a clause stating that
it is a public limited company and the name must end with 'Public
Limited Company' or 'PLC' (or if it is a Welsh company, the Welsh
equivalents 'Cwmni Cyfyngedig Cyhoeddus' or 'CCC').
It must have an authorised share capital of at least £50,000.
Before it can start business, it must have allotted shares to the
value of at least £50,000. A quarter of them, £12,500,
must be paid up. Each allotted share must be paid up to at least one
quarter of its nominal value together with the whole of any premium.
2. Are there any other restrictions on a PLC?
Yes. There are four main restrictions:
A PLC must have at least two members and at least two company directors.
The secretary (or each joint secretary) must also be a person who
appears to the directors to have the necessary knowledge and ability
to fulfil the functions and who:
(a) held the office of secretary or assistant or deputy secretary
on 22 December 1980; or
(b) for at least three of the five years before their appointment,
held the office of secretary of a non-private company; or
(c) is a barrister, advocate or solicitor called or admitted in any
part of the United Kingdom; or
(d) is a person who, by virtue of his or her previous experience
or membership of another body, appears to the directors to be capable
of discharging the functions of secretary; or
(e) is a member of any of the following bodies:
- the Institute of Chartered Accountants in England and Wales;
- the Institute of Chartered Accountants of Scotland;
- the Institute of Chartered Accountants in Ireland;
- the Institute of Chartered Secretaries and Administrators;
- the Chartered Association of Certified Accountants;
- the Chartered Institute of Management Accountants (formally known
as the Institute of Cost and Management Accountants); or
- the Chartered Institute of Public Finance and Accountancy.
A PLC normally has only seven months after the end of its accounting
reference period to deliver its accounts to the Registrar. A civil
penalty will be incurred if it delivers accounts to Companies House
after the statutory time allowed for filing. Penalties are fully explained
in our booklet, 'Late Filing Penalties'.
A PLC cannot take advantage of many of the provisions and exceptions
applying to private companies under the Act, such as audit exemptions
for small private companies.
A PLC cannot apply for voluntary strike-off under section 652A, Companies
Act 1985. Further information about this is available in our booklet
'Strike-Off, Dissolution and Restoration'.
3. What then is the advantage of a public company?
A PLC has access to capital markets and can offer its shares for
sale to the public through a recognised stock exchange. It can also
issue advertisements offering any of its securities for sale to the
public. In contrast, a private company may not offer to the public
any shares in itself.
