Advantages of Private Limited Company are as follows:

• A company being a legal entity has the power to sue in its name and can be sued by others.
• Income tax act 1961 provides a lower tax burden and rates for the companies compared to other type of business.
• The liability of the shareholders is limited to the extent of their shareholding their personal assets are not taken to repay the liabilities of the company.
• There is restricted trade of shares. It is an advantage to the shareholders who do not want to sell the shares to the outsiders. So the risk of hostile takeover is low.
• It has its own assets and liability and is separate legal entity which can be sued or sue or can hold and dispose of property of the company. It is capable of owing the funds and other properties.
• It has perpetual succession and it has an separate legal and independent identity which is different from its owners or shareholders. It means that the company will still and continue to exist even if the members die or ceases to be a member.

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LLP Company Registration, One Person Company, IEC Code Modification, Form INC 20A