THE AMENDMENT TO THE COMMERCIAL CODE WILL SIMPLIFY ESTABLISHING A LIMITED LIABILITY COMPANY

#60The amendment to the Commercial Code will simplify establishing a Limited Liability Company

The Ministry of Justice of the Slovak Republic submitted a draft of a new law amending Act No. 513/1991 Coll. Commercial Code (Commercial Code).

Ministry of Justice openly declares its commitment to improving the business environment. It aims to fulfill this commitment through the upcoming amendment to the Commercial Code, which it is submitting for interdepartmental comments. 

The aim of the upcoming amendment to the law is to enable founders to easily establish a limited liability company, through a standardized form. The essence dwells in standardized online forms and also the introduction of an interactive guide for the potential founder, which will accompany him through the process of filling out the forms and other attachments, which are necessary for the registration of a new limited liability company. 

The less pleasant news is that the amendment will not apply to all limited liability companies. In this regard, the proposed amendment will define the scope and number of business activities regarding which it will be possible to establish a limited liability company in a simplified process.

However, it should be mentioned as an advantage that in the case of such a chosen business activity, the registration of the company in the commercial register automatically leads to the acquirement of a trade license and will automatically be registered as a tax entity.

The interesting thing, in this case, is that all proposals of companies established in a simplified process will be carried out by only one registration court, regardless of the registered seat of the company, and that court will be the District Court in Žilina. The effective date of this amendment is proposed to be January 1st, 2023.