Merger

One of the methods of reorganization of legal entities in Belarusian legislation is a merger. This form of reorganization may open up new opportunities and prospects, access to new markets and new customers, to the founders and managers of all enterprises involved in the merger. Therefore, many entrepreneurs perceive the reorganization in the form of a merger as a strategic move for further business development.

If we are talking about reorganization in the form of a merger of nonprofit organizations, then, as a rule, it is carried out in order to optimize the work of these organizations and expand the scope of their activities.

A process of a merger

For the merger of several legal entities, it is necessary for all legal entities involved in this process (the most common cases are the mergers of two enterprises) to cease their activities.

Moreover, as a result, a new legal entity is created on the basis of the existing assets of reorganized enterprises. For example, by combining the assets of two unitary enterprises, an LLC may be created.

The merger procedure is rather complicated if more than two enterprises of different ownership forms take part in the reorganization.

Important aspects of a merger reorganization

The merger of several legal entities takes place on the basis of the concluded merger agreement, which contains all the details and conditions of the reorganization.

When reorganizing, it is necessary to draw up a deed of transfer. In accordance with it, the accounting will be carried out for the obligations and assets of enterprises ceasing operations that are transferred to the new legal entity.

Creditors must be informed about the merger (they have the right to demand fulfillment of obligations to them before the deadline) as well as employees and authorized state bodies.

During the merger, the registration of a new enterprise is necessary, which is the same as the registration of any newly created legal entity.

Reorganization in the form of a merger is a long and multi-stage process. In order to avoid mistakes that can lead to a number of unpleasant consequences, we advise you to seek the assistance of professional lawyers. Specialists will be able to give you recommendations and assist at all stages of the reorganization of a legal entity.

Lawyers of the Beliaevs & Partners Company conduct consultations in Minsk and Brest. If you want to receive competent legal assistance, contact us at the indicated phone numbers or leave a request on our website.