Saturday 13 August 2016

Joint stock company



Joint stock company :-
The industrial revolution and economic factors are the main reasons of business expansion. The automatic machinery is replacing the labor force. The people try to increase production by using modern methods and techniques. The large size is necessary for various economies in purchases, sales and production. The banking, transport and insurance services have helped to expend industry and trade to great extent. The large scale  business is necessary to meet the challenges of competition. The ever increasing size of business is not possible without capital. A joint stock company is able to raise funds in millions from the internal and external sources. Thus the company is able to overcome the problems of limited capital, unlimited liability, limited skill and short life of business.

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