Both natural and legal persons can associate and set up various companies with legal personality to carry out various profit-making activities, in accordance with the provisions of special legislation.\u00a0<\/span><\/p>\n Law no. 31\/1990 provides for the regulated types of companies with legal personality, which include the limited liability company, as well as other forms of company such as: general partnerships, limited partnerships, joint-stock companies, etc. Analyzing all the types of company found in the special legislation, we can see that the easiest and most common form of organization for a small or medium-sized business will always be a limited liability company, which also has low start-up costs. This type of company is the only one that can also be set up by a single act of will, in which case it is sufficient to draw up articles of association.\u00a0<\/span><\/p>\n To set up such a company, the law no longer requires a minimum share capital of 200 lei to be subscribed, as was previously the case, which can now be as little as 1 lei. As this type of company is intended for medium-sized enterprises, the number of shareholders may not exceed 50.\u00a0<\/span><\/p>\n The memorandum of association of the limited liability company will contain the following essential aspects:<\/span><\/p>\n Following the drafting and signing of the memorandum of association, the founders or the first administrators are obliged, within 15 days from the date of its conclusion, to apply for registration of the company in the Commercial Register in whose territorial radius the company will have its registered office. If they fail to do so, they shall be jointly and severally liable for any potential damage caused by the non-registration.\u00a0<\/span><\/p>\n A limited liability company having its registered office in a particular county may set up <\/span>secondary offices<\/b> in other localities, places of business or even branches (the latter being unincorporated dismemberships of companies that register, before starting their activity, with the commercial register of the county in which they will operate).\u00a0<\/span><\/p>\n First of all, even though the minimum amount of the share capital may be 1 leu, the stage of paying it in, i.e. depositing the amount in the open account, should not be neglected.\u00a0 To this end, Law no. 31\/1990 expressly provides that a limited liability company is prohibited from carrying on business before <\/span>at least 30% of the subscribed share capital has been paid up<\/b>, the balance of which may be transferred after the start of business.\u00a0<\/span><\/p>\n Art. 9.1 para. (2) of the mentioned law stipulates that the limited liability company must pay up 30% of the amount of the subscribed share capital not later than 3 months from the date of registration, <\/span><\/i>but before commencing operations on behalf of the company<\/i><\/b>, and the difference of the subscribed share capital shall be paid up:<\/span><\/i><\/p>\n In order to pay up the share capital, as mentioned above, the company must have a bank account, and in order to carry out this operation, the following documents will be required to open the account:<\/span><\/p>\n Since the special law requires companies to be <\/span>organized also from the financial-accounting point of view<\/b>, this aspect must be taken into account for the purpose of drawing up the compulsory registers and the presentation of annual financial statements. If the company’s object of activity, the large number of employees and the size of the financial operations carried out and the company’s administrators deem it appropriate, they may employ a person with accounting knowledge to handle the financial side.\u00a0<\/span><\/p>\n The company must also draw up a set of<\/span> Internal Rules laying down the duties and working conditions<\/b> applicable to the company before employing staff.\u00a0<\/span><\/p>\n There are also a number of obligations laid down in the relevant tax rules, including the obligation for a taxpayer who carries out economic activities through a place of work to register this place of work with the tax authorities.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":" WHAT IS A SRL IN ROMANIA? Both natural and legal persons can associate and set up various companies with legal personality to carry out various profit-making activities, in accordance with the provisions of special legislation.\u00a0 Law no. 31\/1990 provides for the regulated types of companies with legal personality, which include the limited liability company, as […]<\/p>\n","protected":false},"author":1,"featured_media":24428,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_ppma_block_editor_authors":""},"categories":[153],"tags":[],"ppma_author":[119],"class_list":["post-30129","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business-law"],"yoast_head":"\n\n
WHAT ARE THE OBLIGATIONS AFTER SETTING UP A SRL IN ROMANIA?<\/b><\/h3>\n
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