Reorganization is a merger, affiliation, division, separation

There are a lot of legal persons in our country. They appear and disappear daily. How to create a new company? It can appear after registration, that is, the process, the stages of which are prescribed in the legislation or as a result of the reorganization of some other legal entities.

Reorganization is something that is often confused with liquidation. In fact, such confusion is inappropriate. Why? The reason is that in liquidation there is no succession, and when reorganization it always exists. What is succession? This transfer of duties and rights, which previously owned a specific legal entity (or person). In the case of liquidation, they simply disappear immediately after the firm settles accounts with creditors, and information about it will be removed from the register, that is, from the Unified State Register of Legal Entities. Reorganization is something in which neither one nor the other disappears completely, but continues to exist.

There are several varieties of this process. Each of them has its own characteristics. Consider all this.

The reorganization of an enterprise is a merger, division, separation, merger. Somewhere everything is easier to do, and somewhere - much harder.

Reorganization-joining from other similar processes is different in that another organization joins one large organization, which is less than its scope of rights, duties, and so on. As a result of this process, a small enterprise will cease to exist, information about it will be removed from the Unified State Register of Legal Entities, and the responsibilities and rights will be transferred to the organization to which it was attached.

When merging, two identical or relatively identical legal entities are merged. Their rights and responsibilities are combined, both old organizations cease to exist, and instead of them one appears, which is relatively new.

Reorganization is a process that can be carried out in the form of a division. In this case, one legal entity, ceasing to exist, leaves behind two new organizations that did not exist before. Of course, it is they who have his duties and rights.

The last type of the process under consideration is the selection. Here, part of the duties and rights of the legal entity is transferred to the new organization. At the same time, the primary organization does not cease to exist.

Reorganization is a process in which it is important to understand the situation in which the founders and shareholders will be in the situation after its completion. Of course, it is important to take into account the interests of each of them. How to do it right? Initially, it is necessary to notify people about the beginning of the process. Used for this as registered mail, and publications in the press. In the future, each of them will be given the opportunity to get all that is due (or take shares / stakes in the authorized capital of the legal entity that appeared instead of the reorganized one). In fact, these people in this case at the legislative level granted quite a lot of rights.

Now you have basic information about such a process as reorganization!