Entries by Company Law

Characteristics of the Universal Board Meeting of the Spanish LLC

The general meetings of limited liability companies can be ordinary or extraordinary. The ordinary general meeting must be held within the first six months of each year to approve the management, accounts of the previous year, and the distribution of profits. This meeting is validly held even if called late or held later than in […]

Requirements of the Agency Agreement in Spain

As defined in Article 1 of the Law of Agency Agreements (from now on LAA), these types of agreements are for which a natural person or legal entity is obligate to promote, or promote and conclude, commercial acts or operations. Unless otherwise agreed, the agent does not assume the risk and responsibility of such operations. […]

The shareholder’s right to withdrawal in Spain for non distribution of dividends

Article 93 a) of the Spanish Companies Law (LSC in Spanish) expressly recognizes the shareholders’ entitlement to participate in company profit-sharing. Nevertheless, it is not an automatic entitlement, since, in principle, the General Shareholders’ Meeting decides each year whether the profit yielded shall be destined to establish or increase voluntary reserves or whether it shall be […]

Steps to start an LLC or limited liability company in Spain

The steps for starting an LLC or limited liability company in Spain include the following: Certification that there exists no other company with the same name as the company to be created.  This process involves checking to see if the desired name of the company already exists.  If it does not, the desired company name […]

General Meetings’ Regulation for Capital Companies in Spain

Since the 1st September 2010 section 4ª of title 1 of Book II of the Commercial Code (related to partnerships limited by shares), the law of Public Limited Companies, the law of Limited Liability companies and title X of the law of Stock Markets in respect of publically listed companies has been repealed. The Primary […]

The new Capital Company Law in Spain

The council of ministers approved on the 2nd of July a the Redrafted Text regarding the Law of Capital Companies through the Royal Legislative Decree 1/2010, in which one legal document unifies the respective norms regarding public limited companies, limited-liability companies, public companies and partnership limited by shares, in other words all capital companies existent […]