can someone give the exact definition of selling debenture and an easy one which gives full mark if asked for in the exam and also for article of association and memorandum of association do we have to state what they contain example in memorandum of association the directors decision are included and how can sole traders convert into a limited liability
-A debenture is an unsecured loan you offer to a company. The company does not give any collateral for the debenture, but pays a higher rate of interest to its creditors. In case of bankruptcy or financial difficulties, the debenture holders are paid later than bondholders.
-No, I dont think so it never came up, just memorize the formalities themselves
-Sole Traders cannot benefit from limited liability unless they change their legal form to a limited company(Public or Private),
Hope that helps
good luck
