A simple public limited company as a new form of business will not start until July

The Ministry of Justice is working on an amendment to the Code of Civil Procedure, which extends the date of entry into force of the computerised registration procedure. This is so important that a simple stock company can only be established by eKRS. The launch of a simple stock company was once again the supervisor.

Initially, a simple stock company was to be available from 1 March 2020, then the deadline was extended to 1 March 2021 From the information received by the portal prawo.pl[1] it is clear from the Ministry of Justice that there is not yet a timetable for the implementation of the new eKRS. Furthermore, the Ministry withdrew from the idea of using blockchain technology while building eKRS.

Simple stock company key features

A simple joint-stock company is a new legal form, which is intended to be an indirect mesh between a limited liability company and a public limited liability company. Its advantages are, among other things, the ease of establishment, conduct and solution than the classic public limited company. The key advantages resulting from such activities are:

• very low share capital required for setting up a company (1 PLN);
• a flexible approach to the company's bodies, including the possibility of setting up a board of directors that combines the characteristics of the board and the supervisory board;
• simpler procedures and greater freedom to adopt resolutions remotely, with e-mail or instant messaging, for example;
• greater flexibility in terms of types of shares and rules of operation of the company, including shares for work or services;
• possibility to establish the Internet in the system S24;
• easier ownership of the company's funds - no "freezing" share capital;
• easier ownership of the company's funds - no "freezing" share capital.

The whole rule justifies the thesis that despite dedicating a simple stock company to start-ups, thanks to flexibility it can also prove to be the most popular legal form of conducting Business in Poland.

Author: Bartosz Nawrot

Legal consultant with the law firm Russell Bedford Poland 2018.