Open AccessLimited Liability Companies in Slovenia
Author(s) -
Gregor Dugar
Publication year - 2020
Publication title -
central european journal of comparative law
Language(s) - English
Resource type - Journals
eISSN - 2732-1460
pISSN - 2732-0707
DOI - 10.47078/2020.1.51-67
Subject(s) - limited liability , legislation , liability , business , german , debt , limited company , companies act , parent company , subsidiary , accounting , capital (architecture) , law , corporate law , finance , political science , corporate governance , multinational corporation , history , archaeology
The basic legal source for Slovenian corporate law is the Companies Act (Slovenian Zakon o gospodarskih družbah (ZGD-1)), which regulates among Limited Liability Companies (LLC) as well as other commercial companies. Slovenian legislators took the German LLC as a framework when regulating the Slovenian LLC. LLCs are widely established in Slovenia primarily because they can be founded with relatively little capital (7,500 EUR) and the members are not personally liable for the LLC’s debts. An LLC may also be formed by only one natural or legal person, therefore it has become very popular in Slovenia among entrepreneurs who want to conduct business solo, but don’t want to be liable for any debt incurred by the LLC. This article presents the concept of the LLC and its regulation in Slovenian legislation.