There are two kinds of limited companies: (1) a private limited company and (2) a public limited company. According to Wikipedia, a limited company is a company which liability of the members or subscribers of the company is limited to what they have invested to the company shareholders have a limited liability and its shares may not be offered to the general public. Like Western corporations, private limited companies in Thailand are established by the process leading to the registration. A new company has to register its memorandum and articles of association. The memorandum and articles of association are the document which sets out the rules for the running of the company's internal affairs. This contains the names and signatures of the members that wish to form the company. "The term Limited means that the liability of the owners or stockholders of the company for debts for which it is responsible is limited to the amount of the shares still unpaid by them" (intanaseri, 1991, p. 38).