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Company Formation Czech Republic

Company Formation Czech Republic

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Articles

Set up a Partnership in Czech Republic

Updated on Wednesday 22nd March 2017

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Set-up-a-Partnership-in-Czech-Republic.jpgThe commercial legislation available in Czech Republic offers numerous types of legal entities which can be set up by foreign investors. Businessmen who want to open a company in Czech Republic should know that they can also incorporate a partnership, which provides two main sub-categories: the general partnership and the limited partnership. There are several differences between the two legal entities, on which our team of company formation agents in Czech Republic may offer more details. 
 

General partnership in Czech Republic  

 
According to the applicable legislation in Czech Republic, a general partnership is a type of legal entity in which minimum two partners become associates. It is necessary that the associates in a general partnership to be natural persons. 
 
Investors interested in the procedure of company formation in Czech Republic under the form of a general partnership should have a joint name for the respective business. At the same time, in terms of liability, it is necessary to know that the businessmen are equally liable for the company’s debts, which is calculated taken into account their contribution to the company’s share capital
 
Also, it is necessary to mention that in a general partnership, the parties can become liable with their personal assets and our team of consultants in company registration in Czech Republic can offer legal advice on this aspect. 

 

Limited partnership in Czech Republic  

 
Another way to establish a partnership in Czech Republic is through a limited partnership. Investors who want to start the procedure of company registration in Czech Republic under this legal entity will need to respect different regulations than those available in the case of a general partnership
 
In a limited partnership, more partners can associate in the business, but one of them must have general liability for the company’s debts, including with his or her personal property
 
The other partners are liable only to the extent to which they have contributed to the business’ capital. They are also obliged to provide information on their contributions by registering it with the Commercial Register in Czech Republic
 
Businessmen are invited to contact our team of company formation specialists in Czech Republic for assistance during the incorporation procedures. 
 

Comments

  • Victor 2017-03-22

    I think that a limited partnership would be a more suitable option in my case.

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