Private Limited Company cannot have more than 200 Shareholders, but a public limited company can have unlimited number of Shareholders. Even Rights to trade shares in the general public is also prohibited in Private Limited Company and a Public Limited Company can list their companies in BSE and NSE to trade shares with the general public.
Public Limited Company is an up gradation of Private Limited Company. Private Limited Company considered to be the first level for the start-ups and once business starts growing. It is preferable to convert it into a Public Limited Company to manage the funding and projects of the business.
Following are the points by which you can see the difference between a Private Limited and Public Limited Company
Private Limited Company
Public Limited Company
Number of Shareholders
Minimum 2 and Maximum 200
Minimum 7 and Maximum No Limit
Rights to Make Public Offer is Prohibited under Companies Act 2013
Right to Make Public Offer is Available under Companies Act 2013
Compliance for the Core business are Mandatory
Compliance for Core business and SEBI compliance are also Mandatory