ILN: Establishing A Business Entity: An International Guide

435

[ESTABLISHING A BUSINESS ENTITY IN SPAIN]

SA

SL

BRANCH

contributions within 5 years.

The value of the contribution in kind requires the assessment of an independent expert.

Partners are jointly and severally liable for the value of the contribution in kind. In the event of increase of capital, directors are liable. No expert assessment is required. Privileges are allowed making it easier to change the voting rights principal of 1 share 1 vote. Shares without voting rights are also allowed.

Contribution in kind

N/A.

Voting rights

No privileges are allowed to alter the principal of one share one vote. However, shares without voting rights are allowed.

N/A.

FINANCING SOURCES

Listing and issuing bonds or other negotiable instruments

Can issue shares and bond or debt interest, including bonds convertible to shares.

Quotas representing the capital are not marketable securities. Debentures and other securities that recognize or create a debt can be issued.

N/A.

The total sum issued by a limited liability company may not exceed double their own resource value, unless the issue is guaranteed by mortgage, securities pledge, government guarantee or joint guarantee from a credit entity.

Cannot issue or guarantee bonds convertible into quota.

ILN Corporate Group – Establishing a Business Entity Series

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