A joint stock company (JSC) is a capital trading company whose capital is divided into shares (unlike an LLC). A JSC is most often registered when the business requires a larger amount of investment. Some special laws provide that certain activities may be carried out only by joint stock companies.

Procedure for registration of a JSC

Before proceeding to registration, you can contact a good commercial law attorney who can prepare the necessary documents according to your requirements, as well as explain to you the procedure for registration of the JSC and the ways of managing the company.

In the first place you must hold a constituent assembly and record the decisions in constituent minutes. A joint stock company is formed with one or more natural or legal persons.

The founding meeting shall be attended by all who subscribe for shares, as a shareholder may only be represented by an express notarized power of attorney. The constituent assembly decides on: the adoption of the articles of association, the amount of capital, the election of the board of directors and/or the supervisory board (in a two-tier system).

The minimum capital of the JSC is BGN 50 000. 25% of the value or 12,500 BGN is required for registration. For the remaining part, a term for payment is set, but the term may not exceed 2 years from the entry in the Commercial Register.

The capital shall be paid into a collection account opened by the Executive Director, which, after registration, shall be converted into a current account and the corresponding capital may be used. If the capital includes a contribution in kind, an appraisal must be carried out by 3 experts to determine its value.

In addition to the Articles of Incorporation and the Articles of Association, the following are required for the registration of the JSC in the Commercial Register: the list of shareholders, the minutes of the meeting of the Board of Directors for the election of an executive member (director), when necessary the minutes of the meeting of the Supervisory Board, the specimen, declarations in the form, contribution receipts and power of attorney (when filed by a lawyer).

The state fee for the registration of a JSC is BGN 180. Before proceeding to registration, it is a good idea to consult a lawyer. Our lawyers can assist you in registering a PLC, taking into account the specifics of the company and the procedures for incorporation.