private company
A private company is a business entity whose securities do not trade on public markets. Compare to public company . Private companies can be structured as sole proprietorships , partnerships or corporations , and can range in size from a single owner to international enterprises. Although private companies cannot sell their securities without first conducting an initial public offering (IPO) , they may still be able to raise capital by issuing securities through private placements .
[Last reviewed in January of 2022 by the Wex Definitions Team ]
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