A company that is not a public limited company and which is not allowed to offer its shares to the general public (section 755, Companies Act 2006). It can be limited by shares (members’ liability is limited to the amount unpaid on shares they hold (Section 3(2), Companies Act 2006)) or limited by guarantee (members’ liability is limited to the amount they have agreed to contribute to the company’s assets if it is wound up (Section 3(3), Companies Act 2006)).

If the company is a private unlimited company, there is no limit to the members’ liability (Section 3(4), Companies Act 2006).

For further details on the difference between private limited companies and public limited companies see Practice note, Key differences between unquoted and non-traded public companies and private companies.