Separation

During the conduction of its activities, any legal entity may face the need to change its structure, both external and internal. The reasons can be completely different: from the diversification of the business to changing the number of participants in the legal entity.

One of the forms of reorganization of a legal entity in Belarus is its division.

What is the separation?

Separation involves the liquidation of an existing legal entity and the transfer of all its rights and obligations to its successors - newly created legal entities.

Separation may be a typical example of reorganization of an LLC. By splitting a limited liability company, an UE and a CJSC can be created. They will get the duties and rights of a previously existing LLC, which will be liquidated during the reorganization process.

At the same time, after separation, new legal entities will receive new registration numbers.

What should be taken into account before the separation?

If the participants came to the conclusion that it is necessary to divide the enterprise, then an obligatory step is an inventory of all assets and liabilities that, in accordance with the dividing balance sheet, are transferred to the new legal entities created as a result of the separation.

All creditors and employees must be notified, despite the fact that they cannot influence the final decision.

Creditors may request early fulfillment of obligations. As for employees, they can either be transferred to one of the newly created enterprises, or dismissed before the expiration of the employment contract in accordance with the approved procedure. It is important to timely implement all the procedures associated with the registration of new legal entities, register their names and approve the charters.

Reorganization in the form of separation is a rather laborious process, as it implies the liquidation of an existing legal entity, as well as the registration of new ones. It involves a large number of administrative procedures, which can cause some difficulties for those who have never encountered them before.

If you need professional assistance in the reorganization of a legal entity. You can contact the specialists of the Beliaevs & Partners Company at any time. We suggest you to learn more about our services by calling us at the numbers listed on the website or by leaving a request for a call back.