The company

An entrepreneur must not only consider business aspects, but also many legal aspects. Competent advice is required to avoid serious mistakes, for example when setting up and managing a company and planning the succession. The notary is a reliable source of help in answering the questions that arise in this context due to his experience alone.

Optimal legal form

The first question is the optimal legal form. Numerous factors need to be taken into account when making this choice. From a legal perspective, aspects of company law, commercial accounting law and tax law are particularly important. The question of liability is also of particular importance when choosing a legal form.

Company

The notary will help with the selection of the permissible company name and the clarification of any doubts. The "company name" is the name with which the company is entered in the commercial register and appears in business transactions. It must be chosen in such a way that it is suitable for identifying the company and clearly distinguishes it from other companies. The company name can also be a distinctive invented name that is not taken from the object of the company (e.g. "Paradiso GmbH" for tanning salon). In any case, the legal form of the company must be recognizable from a corresponding addition.

Entries in the commercial register

If certain circumstances of a company that are important for business transactions change, this must be entered in the commercial register.

Notifications of facts requiring entry in the commercial register must be notarized. The notary drafts the text of the application and monitors the correct entry in the commercial register. The notary also provides comprehensive advice on issues relating to the entry and clarifies any doubts with the registry court. The Notary fees for registration are kept within manageable limits.

Restructuring and sale of company shares

In a rapidly changing economic environment, measures such as conversion to a different legal form, mergers and amalgamations are becoming increasingly common, even among small and medium-sized enterprises. Typical examples of such changes to an established business are the sale of company shares, the transformation of companies and the splitting of businesses.

In fact, these are complicated legal procedures, which is why the legislator has provided for advice from a notary in many cases.

Company succession

If the need to find a sensible succession plan is not recognized in time, this can quickly lead to a crisis. Numerous jobs are also at stake. The primary objectives of the succession plan will be to maintain the business and provide for the departing senior manager or his relatives. It is important to select suitable successors for ownership and management at an early stage and, if possible, to integrate them into the business while the senior partner is still active.

However, the entrepreneur must not only think about the planned company succession. Rather, the case of sudden death should also be considered. In this case in particular, failure to make a will can mean the end of a young and ambitious company.

Overall, it is strongly advised against trying to regulate succession without expert advice, for example by making a will yourself. In particular, coordination with the provisions of the articles of association is necessary. Advising you on the possibilities of a balanced testamentary or contractual arrangement is an essential task of the notary.