Explain the difference between public and private companies.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Explain the difference between public and private companies.

 

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Step 1: Introduction to companies

A business can be run in the form of several different legal entities that are allowed by law. So a business can be run as a sole proprietorship, a partnership or a company. When it comes to a company a company can be a private company or can be a public company.

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