As it is known, the Law of Ukraine “On Limited Liability Companies and Additional Liability Companies” came into force on June 17, 2018, which introduced a number of innovations in the procedure for the foundation, operation and management of LLC and ALC. The mentioned above Law also introduced amendments to the Law of Ukraine “On State Registration of Legal Entities, Individuals-Entrepreneurs and Public Formations” and substantially updated approaches to state registration of actions related to the foundation, operation and reorganization of LLC and ALC.
Since LLC is one of the most common forms of business organization, these changes relate to a significant number of Ukrainian enterprises.
LLC and ALC are able to bring the provisions of their charters in compliance with the new legislation and register such changes free of charge during the year from the day the Law enters into force. However, it is better not to postpone this work for the next year, because from the time the Law came into force, LLC and ALC charters are legitimate only in the part that complies with the Law of Ukraine “On Limited Liability Companies and Additional Liability Companies”.
'De Visu' Group encourages the companies’ participants take a responsible approach to organizing the process of transition to new rules, drafting and approving a new version of the charter, which should include all issues of company management in order to avoid possible conflicts in the future. Today business owners should make a decision on the need to conclude a corporate agreement, its essential conditions and conduct negotiation with business partners.
The companies should pay particular attention to the state of formation of the share capital and payment of shares by shareholders in the share capital, since new legislation allows to exclude the participant from the partnership, who has delayed the contribution to the share capital.
Innovations, in the regulation of LLC and ALC activities will also affect the work of the financial department of the company, since approaches to the formation and change the size of the company’s share capital, the withdrawal of members from the partnership and the alienation of its share radically change.
“De Visu' Group holds its finger on the pulse of all innovations in the legislation and is ready to provide skilled practical assistance both to the companies and their owners in the difficult process of transition of LLC and ALC to new rules. Competent and experienced lawyers of 'De Visu' Group will carefully consider the key issues of management of companies, prepare constituent documents, advice on issues of drafting a corporate agreement and conduct all registration actions, if necessary. This will allow laying the groundwork for further confident business development, avoid potential corporate conflicts and unnecessary time expenditures for the internal staff of the companies” - Victoria Sherstiuk, Head of Legal Department of 'De Visu' Group, says.
