Simon runs a news agency from an office in cardiff, the business did not need much capital to get started but simon is now keen to diversify thee business from producing not just newspaper and magazine advert into creating television and radio adverts. To fund this the business will need to raise a significant amount of capital, £1000000 and simon has been advised that the best way to start this process is to convert the business into a limited company.

A) Explain what the term "Limited Liability Means"

B) List two advantages and two disadvantages of forming a limited company.