Hi All I'm trying to understand the definition of Company Limited by Shares. Can someone take a look at my analogy below and tell me if I've got it understood correctly? Thanks! So a company ltd by shares, means that the company is 'run' by shareholders. And as such, has a specified 'share stake'. So... if I have a company with 3 shareholders only.... Person1 Person2 Person3 Each person pays a share of £6000 each, (value of £1)... so share stake is £6000 then each shareholder, is liable of Company Debt up-to £6000? So ..... lets say I'm starting a company.... i need £100,000 to do so...... So I have three shareholders, each with a (paid in) share of: Person 1 (me) = £6000 Person 2 = £6000 Person 3 = £6000 £18000 in total.... then i find the other £82,000 from somewhere else (lets say a bank loan hypothetically)... Who is responsible for the £82,000 ... if not the shareholders?