Specificity of the registering
As per the Company Law in the Republic of Serbia, there are different kinds of legal forms in Serbia you can utilize to begin a business. These include an entrepreneur company, a company with limited liability, a partnership company, a company with a limited partnership, a company with joint-stock. The aforementioned kind of forms is considered as the major ones. Apart from this, you may establish a couple of legal forms such as representative office and branch office. Now, let’s discuss the main characteristics of the most popular type of legal forms. We present to you the basic differences so as to help you to take the proper decision. This way, it gets aligned with business requirements.
Types of companies
Company with Limited Liabilities
These type of companies gives you the ability to incorporate with more than one founders. When you form a company, each member will have a portion of share in the Company’s share capital.
The suggested share capital of LLC (Limited Liability Company) is the number of overall shares that are bought by the registered founders in terms of either non-money or money share.
There is a need for a minimal amount of the share capital while forming a Limited Liability Company. The amount is 1 EUR, which is about 100 RSD.
An important aspect of the Limited Liability Company is that their members are fully responsible for the portion of their own share, or up to the limit of brought or paid share.
Company with Join Stock
Joint Stock Company is a legal entity or a kind of company where the share capital comprises of stocks. This share capital gets formed and segregated into stocks of purported value. This way, the sum of the overall stock constitutes the worth of total share capital. Joint Stock Company is formed by including one or more owners. It is enacted to do several activities. It can be founded by a legal person, foreign or domestic citizens.
The shareholders who are an integral part of the Company, have to bring their total shares or pay in an exact amount of about 25% of the share capital. As for your information, even the value of the smallest portion of share capital in a Joint Stock Company is 3 million RSD and cannot be less.
The branch office constitutes the legal entity of that foreign company by dint of which it is doing business in Serbia. It represents a separate entity by Law. Not only it functions the core activities of the business, but it practices other legal activities that are quite apart from the activities of the mother company.
This kind of office does not bear the status of a legal entity but performs activities in the account and name of its founders. This office is treated as a domiciliary tax resident when it is about taxation.
This type of Office is responsible for separate administrational parts of the actual company. This office is not a legal institution nor does business like the actual company. The representative or subsidiary office can perform regular activities but there are several restrictions.
The office cannot sell or place items on any kind of market. It cannot provide services either in the market. The office can conclude business that is linked with the mother company.
Do you require any further information or would like to proceed with company registration in Serbia, then please contact our specialists!