With its features, Latvia is tearing through being the new center of an eye-catchment for foreign investors. Numerous companies transfer some operations there or start a new company. Factors like being a member of the EU, being veritably near to European and Russian market requests, and being veritably near to important roads are the major reasons why Latvia is preferred by foreign investors. Investors who want to profit from these advantages have to know about the address-transferring process in order not to witness any problems. The transfer of the listed office of a capital company from a Member State of the European Union to Latvia is understood as a cross-border reorganization. The reorganization shall be carried out in two stages. The meeting of the members of the company shall take a decision regarding the transfer of the listing office, authorize the bills of the recently established company, handpick the executive bodies and perform other conditioning that is necessary when establishing the company.
All the rules of transformation apply.
The process of moving the company address to Latvia
The whole process of Company address transfer to Latvia means a restructuring process for that company. In the end, the affiliated company will continue running in Latvia. It occurs in two ways:
The first stage occurs in the origin country. That means, in the first stage, there’s no need to give any documents to affiliated institutions of the Latvian state.
Still, an up-to-date restructuring agreement must be handed to the registry office, If the draft restructuring agreement handed to the affiliated company registry office in Latvia is changed although it was added to the company’s registry brochure. This way, the restructuring process begins.
Member’s meeting is arranged regarding this agreement and it’s estimated. Also, a decision is taken within a month regarding the situation. However, this announcement is delivered to debtors after the decision is taken, If the company decides to notify debtors before this process in a formal way.
Another important detail about company address transfer to Latvia is changing the name or type of companies that are involved in restructuring. It should be noted that such a situation isn’t considered as a reason to change the draft restructuring agreement
Documents to be submitted
Submission of documents of operation and related documents is done by the affiliated commission or other individual authorized by the commission.
- Operation form KR4.
- Evidence by the marketable register authority of the home Member State of the condition of the country of origin for the transfer of the listing office to another EU Member State (‘pre-clearance instrument’).
- A decision on the transfer of the listed office of the company, as well as the verification of the papers of association, board, and council (if any).
- The opinion of the expert on property acceptability.
- The bills of the company.
- The partition of the register of actors.
- The taking of the position of written concurrence of the members of the Management Board (including the Council, if similar is established).
- A statement of the listed office of the Management Board, and a statement that the company is accessible and has a legal base to be at the designated legal address.
- A receipt or a duplicate thereof, or a printout of online bank payment, or information regarding the payment of the State amount.
The vittles of article 358 and article 360 of the Commercial Law shall apply accordingly. However, the Enterprise Register shall make an entry in the Commercial Register regarding a new marketable company, while making a note regarding the rights precursor’. If the submitted documents adhere to the conditions of Latvian nonsupervisory enactments and there are no other legal walls to enrollment of the requested changes. I.e. the information regarding the legal reality registered in the State of origin of the Company.
We point out that, according to Commercial Law, members/ shareholders have the right to share and select/vote at the meeting or to vote before the meeting.
Conclusion
The whole Company address transfer to Latvia is a legal process. Thus, it’s veritably important for the process to be followed according to Latvian regulations. At this point, in order not to witness any problems, it’s veritably important to admit professional consultancy.
