What is a Limited Company? How is it formed?

-Companies are formed when a Business sets up a separate legal identity -The Company's finance is now not connected to the Personal Wealth of now the Shareholders [Owners] -Shareholders receive a share [percentage] of the profits -The Business is now ran by a Board of Directors. They are made up by people who were chosen by the Shareholders. Shareholders also can be part of the Board of Directors. -The Board of Directors now 'runs' the company for you