A company SRL (limited liability company), is a commercial company made up of two or more partners, and where the liability is limited to the capital contributed, that is, if the company were to incur debts, the partners will not respond with their personal assets. And where the capital stock is divided into indivisible and accumulative social shares.
The share capital of the SRL companies will be made up of shares, which will be the product of the contribution of each partner; who will not be personally liable for social debts. The administration of an LLC may be in charge of an administrator called sole administrator; two administrators, called joint or joint administrators or a board of directors, which would be made up of more than three administrators. In the event that the company has two administrators, they would be joint and several, if the exercise of either of them were sufficient to carry out any management.
Now, if, on the contrary, the intervention of both is needed, we would be talking about joint administrators.
Administrators, in order to carry out their work, must comply with a series of requirements, which are detailed below:
They may not work for someone else, in the same commercial activity that constitutes the object of the company. The position of administrator will last for the time that has been established in the statutes and may be revoked by decision of the general meeting. It is not necessary to be a member to assume this position.
For their part, the partners will enjoy a series of rights, among which are: to intervene in the distribution of profits, and in the equity of the company in the event that it is liquidated. They may be elected as administrators and participate in social decisions. They will have the right to receive information (if they so wish) of the company's accounting data.
The name of the company will be created freely, as long as it has the initials SRL at the end.
With the formation of this type of limited liability companies , a different legal entity is created from its partners, which obtains different rights and obligations. This seeks to protect the partners from the debts that the company acquires. This is why the partners limit their liability to the amount of their contributions.
