SIMPLIFIED PROCESS FOR ESTABLISHMENT AND DISSOLUTION OF COMPANIES

Essential changes related to establishment of companies are as follows:

• Resolution on the procedure for registration of the company with the court registry shall be rendered within 5 days of the day of submitting an application for registration to the court registry (not within 15 days as prior);

• Business activities are no longer the subject of registration with the court registry (registration of business activities due to its complicated process was the main obstacle for a faster registration);

• Director’s and liquidator’s certified signatures are no longer a subject to registration with the court registry, thus the entire registration procedure is now less expensive and faster;

• Shareholders shall be obliged to offer payment in the amount of at least one quarter of capital contribution prior to the company’s establishment (our current law prescribed obligatory payment in the amount of at least HRK 10,000.00);

• Notary publics and lawyers are entitled to submit an application for the registration with the court registry;

• At least one company’s e-mail address needs to be registered with the court registry;

• The Company name needs to differentiate clearly from another company’s name having its registered seat in the Republic of Croatia (it is not sufficient for the company name to differentiate from another company’s name registered with the same Commercial court’s court registry);

Essential changes related to dissolution/ liquidation of companies are as follows:

• Dissolution of a company in a summary proceeding within one month without liquidation is possible if the shareholders’ render a statement guaranteeing for company’s obligations upon liquidation;
• Liquidators of the company shall deliver company’s business books to the Croatian Chamber of Commerce for archiving purposes instead of Commercial courts’ court registries.