Many people have thought of creating a limited company or SL, but do not know where to start. The procedures for this involve a series of requirements and steps, which can be very complicated if we do not know about the matter. These include issuing applications and various certificates and registering with the tax administration. To help you a little on this topic, we are going to explain in this article how to create a finite company.
If your goal is to create an SL or inform you about this, you are in the right place. We will explain the requirements, how to gradually build a limited company, how much it will cost, and who can become SL. Read more to know about new company registration in delhi.
How to create a limited partnership?
- 1 How to create a limited partnership?
- 1.1 Step 1: Ask for the company name
- 1.2 Step 2: Open a bank account for SL
- 1.3 Step 3: Write the laws
- 1.4 Step 4: Formulate the SL bonded public bond
- 1.5 Step 5: Get SL’s NIF
- 1.6 Step 6: Register for tax on economic activities
- 1.7 Step 7: Announce VAT or Census
- 1.8 Step 8: Register in the Mercantile Register of the Province
- 1.9 Step 9: Get the final NIF
- 2 How much does it cost to build a limited company?
- 3 Who can create a limited company?
Before you know how to create a Sociedad Limited, there are several key requirements that we must meet. If we do not find something, we need to get it to start the process. They are four in total:
- Negative Certificate of Company Name: This is the certificate confirming the booking of the desired category. It should specify the availability of its value so that it can be used in the new limited company. We must seek the Federal Business Register to request this document.
- Social Investment: To build a limited company, we need to have at least 3000 shares of capital. This amount can be financially valued as money, furniture, real estate or other assets and rights, but it must be non-cash.
- Open a bank account: Shareholders must open a bank account with capital. For this, they can request a document to prove the formation of the SL. Usually, they demand a negative certificate of social need or the first requirement they have temporarily called CIF. At the time of issuance of the bond covering the limited company, a certificate of deposit should also be issued. The latter is provided by the implementing bank.
- Must have DNI or NIE: Both executives and shareholders of a limited company must have an NIE or DNI number. If it is a legal person, they should have NIF.
Once we have tested whether we meet all the requirements, we will see how to create a limited company. For this, we need to follow nine steps, some of which are already included in the above requirements.
Step 1: Ask for the company name
The first step is to request a company name. With that, we make sure that the name we have chosen for our SL is not already used by someone else. Different names should be added to this process so that there are more options. This way, if our first option is already in use, the second name will take its place until another one is available. Where can we do this procedure? Online at the official website of the Mercantile Register.
Once this action is taken, the document we receive is a negative certificate from the community section. This paper certifies that the name will be assigned to the applicant for the next six months. Within the first three months of the issuance of this certificate, the applicant must pre-register the document with the notary public so as not to lose its validity. After this time without registration, the negative certificate of the social category will lose its effectiveness. That is: the name of the limited company will no longer be assigned.
Step 2: Open a bank account for SL
Secondly, we need to open a bank account for any bank, Ltd. For this, they will ask for a negative certificate of the social category they already have. The minimum amount to deposit is € 3000. Thus, the company can issue us another certificate that requires: Income. Once we receive this document, the notary will be able to complete the procedure before the public. Then we can proceed with the procedures for creating SL.
Step 3: Write the laws
What are laws? It is a document that contains the internal function, controls and structure of the limited company. It must be incorporated into the general register of the constitution of the business organization.
Information that should be in entre company law is found at the following points:
- The identity of the system is the limited liability company.
- Company Name
- Office Registered in Spanish Territory.
- Corporate purpose with functions that include it.
- Share capital and the shares in which it is divided.
- Number and nominal value of each share.
- End date of each exercise.
- The management system of a limited company.
There are more compelling references than already mentioned. What’s more, more specifications can be added if partners wish, as long as they apply to the structured principles of social type and corporate ethics.
Step 4: Formulate the SL bonded public bond
The fourth step to be taken by all partners is to go to the notary office and sign the deed of the constitution belonging to the limited company. In addition, they must carry a certificate from the bank certifying the contribution and value of the capital share. Do not forget to provide other essential documents such as bylaws and ID of each partner. If one of them is a foreigner, he or she must submit a notice to invest abroad, among others.
Step 5: Get SL’s NIF
After signing the bond they have to go to do NIF temporary, ID cards and labels. For this we have to submit a photocopy of the partner’s DNI to be signed and a copy of the SL attachment document. Upon completion of this process we will receive a temporary NIF, valid for six months. After this time we need to convert it to the final NIF.
Step 6: Register for tax on economic activities
Once we have the temporary NIF, the next step is to go to the tax agency (tax for economic activities) to register with the IAE . Through this process, you will be informed about the commencement of the activities of the Limited Company.
Step 7: Announce VAT or Census
Although all steps are practically necessary, number seven is absolutely mandatory. As a limited company we have to register in the survey of entrepreneurs, professionals and retainers. For this we need to fill up Form 036. We can consult it on the tax agency’s own website.
Step 8: Register in the Mercantile Register of the Province
It is almost certain that Sri Lanka’s partners will need to register with the Provincial Mercantile Register. That is, in the Mercantile Register of the province in which they are registered. To carry out this procedure they must provide a copy of the provisional NIF and an authorized copy of the deed of incorporation.
Step 9: Get the final NIF
Finally, the final NIF is to be obtained. After registering the Constitution of Sri Lanka, we must return to the Treasury to convert the temporary NIF into a permanent one.
How much does it cost to build a limited company?
One of the most frequent doubts people have when creating a company is the cost of this project. But establishing a suitable price for this activity is not easy. Because both the required procedures and the feasible methods are available. However, if an approximate estimate can be made. In addition, we need to know the costs or costs of building a company and how to distinguish what we need to invest in it first. The latter mainly depends on the type of company and the sector.
To build a limited company, the minimum cost is around 300, but it can reach up to 900. So, the average is 600 more or less. In addition, we need to keep in mind that a minimum of € 3000 is available to meet the SL generating requirements.
Who can create a limited company?
We now know the requirements to build a limited company, the steps to follow and what it will cost us. But who can create an SL? Then any individual or group wants to give legal personality to their business idea and thus establish a law firm. When there is only one partner, the company is called Sociedad Limitada Unipersonal (SLU). On the other hand, when it is created by two or more people, it becomes a normal SL or limited company. It should also be noted that an SL may hold shares associated with another limited company and act as a manager of the company.
I hope this article has helped you to understand how to build a finite company.