What is a limited liability company?

A limited liability company (abbreviated as "LLC" or "TzOV") is an organization, a business entity, the authorized capital of which is divided into shares, the size of which is established by the company's charter. LLC/LTD is a type of business partnership.

As of today, LLC/LTD is the most common organizational and legal form of commercial organizations in the world.

Advantages of a limited liability company:

• The founders and members of the LLC can be both individuals and legal entities, both residents and non-residents.

• The size of the authorized capital of the LLC is not limited. Flexible conditions for filling the authorized capital.

• LLC registration with one member is not prohibited.

• A simplified system of enterprise management — the powers of the executive body of the enterprise, as a rule, one person, are limited by the powers of the higher management body — the meeting of founders (participants).

• Absence of legally established requirements for the preparation and submission of special reporting, as well as its publication (as for JSC).

• The members of the company are not responsible for its obligations and bear the risk of losses related to the company's activities, within the value of the contributions made by them.

• There is no need to make additional financial expenses for the organization of accounting and operations with securities of shareholders.

• Free exit from the LLC with the transfer of its capital share to other founders.