Company limited by guarantee
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A company limited by guarantee (CLG) is a type of
The form originated in the United Kingdom, and now exists under the
It is used primarily but not exclusively by
Characteristics
A company limited by guarantee can distribute its profits to its members, if allowed by its articles of association.[2]
Like a private company limited by shares, a company limited by guarantee must include the suffix "Limited" in its name, except in circumstances specifically exempted by law. One condition of this exemption is that the company does not distribute its profits. This is also a condition for a company limited by guarantee that wishes to be a charity.
Until 1981, it was possible in the United Kingdom to form a company limited by guarantee with a share capital,[3] although the number of these companies remaining is very small.
Not-for-profit uses
Some uses of companies limited by guarantee include
The form is also often used by organisations with some kind of national coordinating function. Examples in the UK include the domain name registry
In the UK, some quasi-governmental organisations are incorporated as companies limited by guarantee, a government or minister having ultimate control. The Financial Conduct Authority and Network Rail (the railway infrastructure provider) are examples.
Commercial enterprises
One of the largest companies limited by guarantee is Bupa, the healthcare company, which has 32 million customers in more than 190 countries and which employs more than 84,000 people around the world.[6]
A number of professional services providers are structured as private companies limited by guarantee in which the members that provide
Some law firms also use this structure to establish an internationally branded presence. For example, the Anglo-Canadian law firm of
References
- ^ companylawclub.co.uk, Retrieved 23 March 2014
- ISBN 978-0-406-91356-2.
- ^ "Companies House, England and Wales, guidance notes". companieshouse.gov.uk. Archived from the original on 12 October 2008. Retrieved 23 March 2018.
- ^ UK Independence Party: constitution Archived 2014-05-24 at the Wayback Machine and Companies House registry entry
- ^ "World Wide Fund for Nature Hong Kong 世界自然(香港)基金會".
- ^ "Our employee wellbeing". Bupa - an international healthcare company.
- ^ "Terms of Use".
- ^ "Legal Statement".
- ^ "Governance". 23 August 2022.
- ^ "Network Structure".
- ^ "About the structure of Gowling WLG". Retrieved 24 February 2016.
- ^ Mackrael, Kim (8 July 2015). "Gowlings Law Firm to Combine With U.K.'s Wragge Lawrence Graham". The Wall Street Journal. Retrieved 24 February 2016.
- ^ "Legal Notices".