Examples include the LLC in the United States, private company limited by shares in the United Kingdom, GmbH in Germany and Austria, Besloten vennootschap (BV) in The Netherlands and Belgium, société à responsabilité limitée (SARL) in France, società a responsabilità limitata (S.r.l.)
The equity is divided into equal stakes (can not be called "shares"), each one of which represents a percentage of the company and that can not be traded on the stock exchange.
Bosnian and Herzegovinian legislation, similarly to that in Serbia, Montenegro, North Macedonia contemplates LLCs as društvo s ograničenom odgovornošću (d.o.o.).
Companies incorporated under this structure append the cyrillic abbreviation ООД (Latin script: OOD) to their name.
The EOOD specifically, is exempted from annual, general or extraordinary meetings for making decisions and may just issue written resolutions.
Based on the literal translation of the word "company", an LLC should be considered to be a kind of KG without any liable partner.
[16] A limited liability company (LLC) in Greece is synonymous to an EPE (ΕΠΕ - Εταιρεία Περιορισμένης Ευθύνης).
[citation needed] The Ministry of Corporate Affairs is the governing body which regulates all Private Limited Companies in India.
To incorporate a Private Limited Company in India, minimum 2 directors and 2 shareholders (members) are required.
This type of company is widely used by foreign investors in Mexico because of its "pass-through" modality and its "check the box" capability under the IRC (Internal Revenue Code of the U.S.).
[citation needed] Moldovan legislation contemplates LLCs as Societate cu Răspundere Limitată, abbreviated "S.R.L.
[citation needed] Macedonian legislation contemplates LLCs as Друштво со ограничена одговорност (Drushtvo so ogranichena odgovornost).
[29] There is no direct equivalent of an LLC in Peru, but some similar corporate forms include: The capital for any of the above entities is freely determined by its statutes.
Informally, in the Polish speaking slang, it is abbreviated as spółka zoo (pronounced with a long "o", as in "tow.").
The capital is not required to be deposited at the time of the registration of the company, instead the share holders have until 31 December of the year the registry was made.
[citation needed] Romania recognizes the limited liability company since 1990 under the name of societate cu răspundere limitată (S.R.L.
[citation needed] Although a Russian limited liability company shares the same name with an American LLC, it is different in many ways.
[citation needed] A limited liability company is the most popular form of legal undertaking in Russia for simple shareholding structures.
[34][non-primary source needed] In Slovakia, the law contemplates spoločnosť s ručením obmedzeným (abbreviation spol.
It is very popular form of business organization due to ensurance of limited liability in exchange for a relatively small investment into the registered capital.
The AB structure requires shareholders, a board of directors, and regular meetings of both, together with complete accounts once per year.
Creation or purchase "off-the-shelf" of an AB is relatively cheap and tax effective, but liquidation of a created aktiebolag can be an expensive and time-consuming operation.
In Tajikistan, the same as in Russia, an entity with a somewhat similar structure is known as "Ҷамъияти дорои масъулияти маҳдуд", Chamiyti Doroi Masuliyti Machdud, abbreviated as "ҶДММ".
Most kinds of commercial organisations with an annual turnover of more than ฿1,800,000.00 are supposed to register a Limited Company with verified capital of at least ฿1,800,000.00 and pay VAT sales tax.
For most purposes, foreign nationals are not permitted to be share holders or declared board members although there are exceptions for very high level investors.
[51] In Ukrainian, it is spelled "Товариство з обмеженою відповідальністю" (abbreviated – TОВ, TзОВ), in transliteration "Tovarystvo z Obmezhenoyu Vidpovidalnistyu," that is, "company with limited liability".
Legal entities (foreign or Ukrainian companies) individuals, regardless of their country of citizenship or residency can be the founders (participants) of LLC.
[53] Despite the split in shareholdings, profits may be divided in other ratios agreed upon, taking into consideration efforts of foreign partners in management, provision of technology or expertise.
LLCs are not allowed to practice their activities in the UAE without a Trade License and Commercial Registration Certificate.
[63] A potential disadvantage specific to the United States is that LLCs are not considered to be corporations for the purposes of federal civil procedure; they are instead treated as partnerships.