ABSTRACT
This type of company is not very popular. One reason for its use was that until relatively recently all limited liability companies had to file full accounts at Companies House, where they were open to inspection by anyone who chose to inspect them, including the company’s competitors. Unlimited companies were exempt from that requirement. Nowadays, however, the information which small private limited companies are required to file is minimal and unlikely to give much information away to competitors, particularly in view of the time lag between the accounting period and the time when the accounts have to be filed. Thus a private limited company will usually be the better option for those requiring the benefit of incorporation. In contrast to a partnership, the main advantage of an unlimited liability company over a partnership, nowadays, is that the company has perpetual succession (that is, continuous existence).
