• The concept of the company: The company is a contract whereby two or more persons are obligated to each of them participate in an economic project (financial – industrial – agricultural – real estate or other) aimed at making a profit, by providing a share of money or work and distributing the profit or loss arising from this project. This company can also be established by one person.
• Forms of companies: The company must take one of the following forms: 1- Solidarity Company 2- Simple Recommendation Company 3- Limited Liability Company 4- Public Joint Stock Company 5- Private Joint Stock Company
• National Contribution Ratio:
- In the partnership and limited partnership: 100%
- In other forms of companies: the share of the citizen or citizens shall not be less than 51%
.• The company must obtain all the approvals required for the activity that it will practice in the country before starting to practice the activity. It must conduct its activities inside the state, and it may conduct its activities outside the state if the articles of incorporation stipulate that.
- General Partnership: It consists of two partners or more natural persons who are jointly and personally responsible in all their money for the company’s obligations. The joint partner acquires the status of a merchant, and is considered to be carrying out commercial business himself in the name of the company. The declaration of bankruptcy of the joint liability company entails declaring the bankruptcy of all partners by the force of law.
- The Limited Partnership Company: It is the company that consists of one or more general partners who are jointly and personally responsible for the company’s obligations and acquire the capacity of a merchant, and from one or more silent partners who are not responsible for the company’s obligations except to the extent of their share in the capital and do not acquire the capacity of a merchant. Any natural or legal person may be a limited partner in a limited partnership company.
- Limited Liability Company: A company in which the number of partners is not less than two and not more than 50 partners. And each of them is only liable to the extent of his share in the capital. Also, one person, a natural or legal citizen, may establish and own a limited liability company. The owner of the company’s capital is not responsible for its obligations except to the extent of the capital stated in its memorandum of association, and the provisions of the limited liability company shall apply to him in a manner that does not conflict with its nature.
- Public shareholding companies: a company whose capital is divided into shares of equal value and that are negotiable.
- Private joint stock companies: a company in which the number of shareholders is not less than two and not more than two hundred, and its capital is divided into shares of equal nominal value. within the limits of his shares.
In this article, we discussed the forms of companies, and we will discuss in subsequent articles in detail all the information related to these companies.
