Michela and John run a successful business harvesting and selling seaweed. They propose to diversify and wish to establish a new business unit to create and sell cosmetic products using seaweed as their base. The couple currently run their main seaweed business in the form of a private company limited by shares ("SeaSustenance Ltd"). They are unsure whether to incorporate this new business venture as a subsidiary private company limited by shares (LTD) or a designated activity company (DAC). Advise Michela and John of the characteristics of LTD and a DAC and outline what you consider to be the advantages of each format