On 01.08.2020, amendments to the Commercial Code will enter into force, which in certain cases will abolish the notarial formality requirement upon sale of a private limited company’s share. The amendment also actually affects shareholders’ agreements and option agreements.
– The share capital must be at least 10,000 euros and fully paid up.
– The waiver of the formal requirement must be made in the articles of association.
– There is no complete freedom of form. However, after the amendment to the law, in the case of companies that have waived the notarial form, some transfer transactions must be concluded at least in a form that can be reproduced in writing. This usually includes e-mails, SMS messages, and the like.
The main benefit is primarily the cost of time and money associated with previous requirements.