Conditions For Establishing A Limited Liability Company

A limited liability company, also known as a limited company, is composed of a certain number of shareholders prescribed by law, and shareholders have limited liability to the company's debts on the basis of their capital contributions.

The procedures for establishing a limited liability company are relatively simple. As long as there is a quorum prescribed by the company law, the company's articles of association are made, the full amount of capital contributions are paid, and the registration procedures are taken. After approval by the competent authorities of the government, the company is set up and the legal person qualification is obtained.

Generally speaking, the establishment of a limited liability company shall meet the following requirements: 1.

According to the provisions of China's company law, the state as sole contributor (shareholder) can set up a wholly state-owned company; individual individuals, including rural villagers, resigns and resigns; the retired persons and other members permitted by national laws, regulations and policies, private enterprises owners and individual businesses can become shareholders of limited liability companies.

The state has a clear stipulation on the shareholders of a limited liability company, and a limited liability company must be jointly funded by 2 or more shareholders with less than 50 shares.

(2) the minimum amount of capital contributed by the shareholders and reaching the statutory capital.

The way of shareholders' contribution to a limited liability company can be money, or material object, industrial property right and land use right.

The real estate investment must discount the real object, and the state assets management department shall check and confirm the legal procedures for handling the pfer of property, and make investment in the form of industrial property right, but the amount of its contribution shall not exceed 20% of the registered capital of the limited liability company. If the land use right is invested in the stock, its contribution price must be assessed by the land administration department of the people's government at or above the county level, and it shall be reported to the people's government at or above the county level for examination and approval, and the corresponding land use certificate shall be handled.

The minimum amount of registered capital of a limited liability company is different from that of a company.

China's company law stipulates that the minimum registered capital of a productive operation company is RMB 500 thousand yuan; the minimum registered capital of commercial and material wholesale companies is RMB 500 thousand yuan; the minimum registered capital of a commercial retail company is RMB 300 thousand yuan; the minimum registered capital of a scientific and technological development, consulting and service company is 100 thousand yuan RMB.

3 shareholders jointly formulate the articles of association.

The articles of association of a limited liability company shall be approved by all shareholders, and each shareholder shall hold one copy.

The formulation of articles of association is an important requirement for the establishment of a company and a necessary and necessary procedure for the establishment of a limited liability company.

The articles of association of a limited liability company are the basic provisions on the organization and operation of the company as agreed by the shareholders, and are the documents for determining the rights of the company.

(4) in the form of limited liability, the company name is identified and the company organization is formed.

The company law of our country stipulates that the establishment of a limited liability company must indicate the "limited liability company" in the name of the company, and the shareholder shall bear limited liability in the limit of its capital contribution.

The company law also stipulates that a company shall consist of shareholders' shareholders' associations, a company's power organ, a board of directors, a board of supervisors, and a board of supervisors.

(5) registration according to law.

After the completion of the articles of association and the full payment of shareholders' contributions, the company shall, within the statutory time limit, apply to the company registration authority for registration of establishment and submit an application for company registration by a designated representative or a jointly appointed agent.