Companies Act 2014 section 17

Way of forming private company limited by shares

Section 17 sets out how a private company limited by shares may be formed, the principle of limited liability for its members, and the maximum number of members such a company may have.

• One or more persons may form a company for any lawful purpose by subscribing to a constitution and completing registration requirements.
• A member's liability is limited to any amount unpaid on shares registered in their name, though the Act may impose other liabilities.
• The maximum number of members is 149, excluding employee-members and former employees who became members during their employment.
• Joint holders of shares count as a single member, and any registration of a member beyond the 149 limit is void.