Limited company

A private limited company is a legal person distinct from its shareholders. It contracts, owns assets and owes debts in its own name, and the shareholders risk only the capital they put in. It is managed by one or more directors and its accounts are filed publicly. Every member state offers this form, and the EU company law directives set minimum rules on registration, disclosure and capital.

Minimum share capital ranges from a symbolic amount in several countries to tens of thousands of euro in others. The company pays corporate income tax on its profit, and shareholders pay tax on dividends; salaries paid to directors are deductible expenses subject to payroll taxes. Accounting is on the accrual basis with a mandatory annual closing, and audit applies above the national size limits. The public limited company is the larger, listed-capable variant. Kontevia supports both sole traders and limited companies with separate workspaces per entity.