The two most popular types of companies registered in Zimbabwe are a Private Limited Company (PLC) and a Private Business Corporation (PBC).
Differences between a Private Limited Company (PLC) and a Private Business Corporation (PBC)
Private Limited Company | Private Business Corporation |
Separate legal entity | Separate legal entity |
Perpetual succession | Perpetual succession |
Can have a maximum of 50 members | Can have a maximum of 20 members |
Companies can be shareholders | Companies can not hold members interest |
Comprised Of Directors And Shareholders | Comprised of members |
Has a memorandum of associations | Has a founding statement |
Registered articles of association | Articles of association are not required |
Compulsory annual return required to be lodged | No annual return to be lodged |
Has share capital | Has members contributions |
Has an auditor | Has an accounting officer |
Convenes an annual general meeting (AGM) and has to be declared with the Companies Registry | Convenes an annual general meeting and has to be declared with the Companies Registry |
Has a certificate of incorporation | Has a certificate of incorporation |
Directors are responsible for the day to day running of the Private Limited Company | Members are responsible for the day to day running of the Private Business Corporation |
Has a register of members | Does not have a register of members |
Has limited liability | Has limited liability |
Audited financial statements | No financial statements needed |
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