Company Limited By Guarantee Without Share Capital

The types of organisations who form a Guarantee Company Without Share Capital are Charitable Organisations, Property Management companies Educational Establishments and Professional Bodies as they want to secure the benefits of separate legal personality and of limited liability but do not require to raise funds from the members.

The Liability of the members of the company is limited to the amount they have contributed to the assets of the company in the event it is wound up, not exceeding the amount specified in the memorandum. As the company does not have share capital, the members of the company are not required to buy shares in the company.

Many companies of this type wish to apply for tax exemption, and the Memorandum and Articles of association of this type of company must be specifically scripted for this application.

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