Azerbaijan Company Formation

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Azerbaijan

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Buying a European shelf company with VAT number

Whenever you need to start doing business immediately in a European country and you need a company with a VAT number, you don’t have to wait for the bureaucratic procedures.

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Partner Law Firms

We encourage you to contact our partner law firms in Bucharest: Rolegal and E&C, both part of our legal network.

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Tax Minimization Structures

BridgeWest is specialized in special corporate structures designed for tax minimization. No matter where you want to incorporate your company, you will need to consider how you can legally minimize costs.

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Types of companies in Azerbaijan

September 17, 2010, 3:10 pm
BridgeWest

In Azerbaijan the legal entities are regulated by the Civil Code, as well as specific laws and regulations. These laws include the Law on State Registration of Legal Entities, the Law on Securities, the Law on Joint Stock companies and the Law on Limited liability companies, and they regulate the registration, structure, activities and management of the companies. There are two categories of legal entities in Azerbaijan: business entities and non-commercial organizations. The most common company type is the limited liability company, as it is designated for small to medium-sized companies.

Create a limited liability company (LLC) in Azerbaijan
This entity type is used for commercial purposes and it the most widely used in Azerbaijan. It can sustain small and medium-sized companies being established by at least one member. The LLC's participants contribute with their parts to the charter capital, which has no statutory minimum required. As the legal entity's name suggest, the liability of its members is limited to the amount of contribution made to the company, or to their interest. The participatory interests are not transferable freely. Remaining partners may purchase the withdrawing participants' interest.

Create an Open joint stock company (JSC) in Azerbaijan
This entity is designated for business at a larger scale and it can be formed by one or more founders, individuals, or legal entities. A Joint Stock Company in Azerbaijan has a certain fund divided into shares, owned by shareholders that must be authorized through insurance. The open joint stock company may freely transfer shares and trade them to the public. The shareholders of a JSC are liable to the extent of their contributions to the company's debts and obligations. The JSC must include Board of Directors, Supervisory Council and Audit Commission elected at the General Meeting of Shareholders.

Closed joint stock company (JSC) in Azerbaijan
The closed joint stock company in Azerbaijan functions mainly as an open one, being ruled by a Board of Directors, with a limited liability of the shareholders. It can also be established by one or more natural persons or legal entities, having a common capital divided into shares. The main difference between the two types of JSC is that a closed one cannot issue transferable shares, nor can it offer them to the public.

Limited partnership in Azerbaijan
A limited partnership is an entity formed by at least two founders, individuals or legal entities. A limited partnership has at least one general partner and at least one limited partner. The general partner is entitled to interfere in the management of the company, holding fully liability to the company's debts and obligations, while the limited partner has a smaller role in the management of the company, being liable only to the extent of his or her contribution to the partnership.

General partnership
The general partnership is formed, like a limited partnership, by two members, individuals or legal entities, sharing the same rights and obligations as they are general partners. This means they are fully liable to the partnerships' debts and obligations two the extent of their own personal assets. The general partnership is a distinct legal entity and the general partners' shares are not transferable. However the withdrawal of one partner does not necessarily result in the dissolution of the partnership.




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Company Formation in Azerbaijan

Baku

BridgeWest provides company formation in Azerbaijan. Our assistance includes:

> drafting the Articles of Association (necessary for the company incorporation in Azerbaijan);
The Articles of Association required to ... [More]