This paper deals with limitations and Improvement about application of the Companies Act in Small and Medium Enterprises(SMEs). Small Medium Enterprises(SMEs) contribute significantly to our economy in terms of enterprise scale or its employees compared to large enterprises. In the contribution of national economic development, I think that SMEs have a important value and meaning as well as large companies. But SMEs are in a very poor position in capital and the scale of enterprise. People call a current system ``knowledge society`` or ``information society``. In this society a small piece of firm size can be required in the prompt activities of the enterprises. The difficulties of the economy have been accelerating. The idea to overcome the current economic difficulties have been raised by the SMEs. Korean Commercial Code was so widely amended in the area of limited liabilities companies in 2011. In this paper, we describe the review of the revision and some unimproved parties for the amendments. Limited Company in Korean Commercial Code which are a limited liability company is not used in our country. A limited Company is a favorable form to the original small-scale enterprises and is also a much more autonomous than the Corporation to run the company. Nevertheless, a limited Company is not well being used in our country today. Efforts to amend Korean Commercial Code should be made on and on in our country, so that operators can take advantage of enterprise better than a limited company.