Advantages of Private Joint-stock Company sued.

(i) It has a separate entity from the owner, meaning it can sue and be

(ii) Shareholders have limited liability i.e. in case of business failure, they may lose only their contributed capital.

(iii) Private joint-stock companies can raise more capital than partnership and sole trader. This is because the maximum membership of private joint-stock company is fifty whilst those of partnership and sole trader are twenty and one respectively.

(v) Shareholders have the chance to appoint specialists as board of directors to direct the affairs of the company.