How To Register Trading Companies by Contributing In-Kind Capital to Them?
How To Register Trading Companies by Contributing In-Kind Capital to Them?
It is possible for business partners and shareholders to contribute capital to their companies in cash as well as in liquidable assets in order to meet all the expenses of their companies. In companies’ articles of association, the business partners and shareholders can undertake to contribute in-kind capital to their companies. A company’s capital can be composed of movable and immovable assets, industrial property rights and usufructuary rights.
The procedures required for the registration of in-kind capital to trading companies are carried out at the land registry offices. The documents required for registration are as follows:
- The decree showing the value assigned and granted by Commercial Court
- Indicating that the real estate is registered as capital in kind in the certificate of representation received from Trade Registry Office
- Identity cards or passports and certificates of representation of authorized representatives of trading companies where the capital in kind will be registered
- If the certificate of representation received from Trade Registry Office does not indicate that the capital in kind is registered, the identity cards or certificates of representation of real estate owner or of the authorized representatives
- Mandatory earthquake insurance (for immovable real estate properties)
- Document showing the real estate tax value received from the relevant municipality