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2012 9 Copyright2012 METRO. All rights reserved. ................................................................................................................. 1 1 ................................................
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A public company is a company whose shares are traded on a stock exchange and are available to the general public. A private company, on the other hand, is a company that is not listed on a stock exchange and its shares are not available to the general public.
Public companies are required to file with the Securities and Exchange Commission (SEC) while private companies are not required to file publicly.
Public companies must fill out various forms and reports according to SEC regulations, while private companies have more flexibility in terms of reporting requirements.
The purpose of public company filings is to provide transparency to investors and the general public about the financial health and operations of the company. Private company filings are typically used for internal or regulatory purposes.
Public companies must report financial statements, executive compensation, and other material information to the SEC. Private companies have less stringent reporting requirements and may choose to disclose certain information to stakeholders.
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