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Company Formation Czech Republic

Company Formation Czech Republic

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Articles

Open SPV/SPE Company in Czech Republic

Updated on Monday 31st October 2016

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Open-SPV-SPE-Company-in-Czech-Republic.jpgInvestors who are currently seeking business opportunities in Czech Republic can set up their operations through a special purpose vehicle (SPV) company, which is usually incorporated as a subsidiary of a foreign company. The main characteristic of a SPV company in Czech Republic is that it can secure its assets to an extent that it will provide financial protection even in the situation in which the parent company experiences financial issues, such as bankruptcy. The registration procedure does not subscribe to the general incorporation measures applicable to commercial companies and thus, it is advisable to receive assistance from our team of specialists in company formation in Czech Republic
 

SPV legislation in Czech Republic  

 
The SPV companies in Czech Republic are regulated by a set of rules of law. Amongst them, we mention the Concession Act, which provides a legal framework for the usage of SPV companies. The Act prescribes the way in which such legal entities can be used for public-private contracts. In this sense, we mention that the SPVs are successful instruments in Czech Republic for establishing projects carried by both private and public entities. Investors can find out more details on this matter from our team of company formation representatives in Czech Republic
 
The funding of a private-public contract will begin with the investment phase, in which the project can raise capital from public funds and those received from the European Union (as the country is a member state of the Community), which are then sent to the public entity which controls the respective project. Further on, the private SPV will receive the authorization to start the operational phase, which refers to the implementation of the project
 

Registering the Czech SPV company 

 
However, when registering a SPV in Czech Republic, the investors will need to start the incorporation procedure by following the regulations established for commercial companies
 
The SPV will be registered under one of the legal entities available in Czech Republic but, as a general rule, most of the investors prefer to register a limited liability company
 
Investors who want to open a company in Czech Republic will have to draw the articles of association and establish the shareholder’s structure, to appoint the directors of the company, as well as the company’s secretary
 
We invite businessmen to contact our team of company incorporation agents in Czech Republic for in-depth details on how to set up a SPV/SPE company.  
 

Comments

  • Adrien 2016-10-31

    This article was very helpful! Thank you!

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