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Formation of a new company

Many people who are about to close a business deal related to the sale or acquisition of a new company, sometimes underestimate the importance of having legal advice before making any transaction that may affect their financial capital. Carrying out this type of business goes beyond acquiring a property and handling the corresponding monies established in the agreement between both parties involved, because when we talk about companies, we must not forget that in Colombia their incorporation is legislated by the State.
The existing laws on business administration have been created depending on the structure constituted and this, in turn, depends on the needs and expectations of each particular project; below we will mention the different types of companies that exist in the country regulated by the Colombian Code of Commerce:

Individually incorporated companies

When an entrepreneur wishes to start his business individually in Colombia, he can resort to three modalities:
Natural person who is a merchant: professionally engaged in commercial activities, must register in the Single Tax Registry ( RUT) and then go to the Chamber of Commerce ( ) to present this registration document and the Single Business Registration Form (RUES).
Sole proprietorship: differs from the previous structure because in this case, the business has a legal personality independent of the person who creates it; it consists of a person (Natural or Legal) disposing a part of its assets for the development of a business activity.
Simplified Joint Stock Companies (S.A.S.): arose with Law 1258 of 2008, by means of which it is legislated that such companies may be formed by one or several companies.
natural or legal persons, whose liabilities are closely linked to the value of their contributions.

 Companies formed by two or more persons

Some of the companies that have two or more associates and are legally incorporated in Colombia for whose formation you can find legal advice with lawyers in Bogota are:
General Partnership: its incorporation is legalized by means of a public deed and its administration may be in charge of the partners or delegated third parties.
Public Limited Company (S.A.): it is constituted among five or more shareholders by means of a public deed. The liabilities of this type of company vary according to the amount
contributed by each shareholder and the capital is represented in shares of equal value for each shareholder.
Limited Liability Company (Ltda.): it has a minimum of two partners and a maximum of 25, and each one is liable for its contributions.
Sociedad en Comandita Simple (S. en C.): it is formed by managing partners and limited partners, while the former are in charge of managing the company and the development of the business, the limited partners contribute the capital.
Other partnerships that are frequently formed in the country are the Associative Work Companies (E.A.T.), in which the partners focus their knowledge and work performance in order to achieve certain objectives in the business area and thus carry the project forward; on the other hand, there are the Agricultural Transformation Companies (S.A.T.), which are especially dedicated to agricultural or livestock activities.
If you are about to undertake an important project, do not hesitate to consult with lawyers in Bogota specialized in commercial law who can accompany you throughout the process of setting up companies, registration of trademarks, review and drafting of contracts, negotiations with third parties, among other processes that will come out better with excellent legal advice to realize a successful business.

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