LLC stands for Limited Liability Company. While the term "LLC" is widely used internationally, in Pakistan, a limited liability company is more commonly referred to as a private company (Pvt. Ltd.).
Essentially, both "Limited Liability Company" and "Private Limited Company" denote a business structure where the personal assets of the owners (shareholders) are protected from the company's debts and liabilities. This is a key feature that distinguishes it from sole proprietorships or partnerships. In Pakistan, setting up a private limited company is a popular choice for small and medium-sized enterprises (SMEs).
Therefore, while you might not encounter the abbreviation "LLC" as frequently in Pakistan, understanding that it represents the same concept as a "Private Limited Company" is crucial.
