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Types of company changes and considerations

After the company is registered and established, it cannot remain unchanged. Sometimes some changes need to be made for some reasons. The change is very simple, that is, the old company content is overwritten and the new company content is updated. Update, but it is very troublesome to do. It involves a wide range of areas and requires a lot of information to prepare. The change matters are different, and the materials and processes are also different. So what are the types of company changes and precautions? Let’s take a look below.

1. Change of registered address

Change of registered address includes changes within the same region and changes across regions. If the company changes its address, it shall apply for change registration before moving into the new residence and submit proof of use of the new residence.

In addition to industrial and commercial changes, taxation and banking changes also need to be made, especially cross-regional changes. Taxation requires moving in and out. During this period, invoices cannot be issued, and the tax declaration for this month must be completed. It can be done. If there is a trademark certificate, ICP certificate and other qualification certificates, and the registered address is listed on the certificate, the address needs to be changed accordingly.

Note: The company's registered address is the company's operating address. Relevant departments may also randomly check whether the company is still operating at the location specified in the business license at any time. If a company "moves" without authorization, it will be included in the exception list and will be revoked after a long time. In the end, the company can only apply for cancellation, which is not worth it. It is safer to apply for a change of registered address at the beginning of the "move".

2. Company name change

Company name change includes company name changes and upgrades, which require the company registration time to be more than one year.

Note: After changing the company name, the seal needs to be re-engraved, and corresponding changes must be made in the banking, taxation, social security and other departments; if there is a trademark certificate, etc., it also needs to be changed.

3. Changes in registered capital

Changes in registered capital include increases and decreases in registered capital. When a company intends to increase or decrease its registered capital due to financing, increase or decrease in shareholders, etc., it should promptly make changes to the Industrial and Commercial Bureau.

Note: The procedures for capital reduction are complicated. To reduce capital, you need to publish the relevant certificates of the company's announcement on reducing registered capital and an explanation of the company's debt repayment or debt guarantee in a newspaper. The processing cycle is long.

4. Changes in shareholders

Changes in shareholders include changes in shareholder and equity information. When a company adds or reduces shareholders due to financing, equity incentives, shareholder withdrawals, etc., the company's shareholder structure will change, and it will need to go to the industrial and commercial and tax authorities for changes.

Note: The difficulty in equity transfer mainly lies in the tax aspect. The key depends on whether the equity and fixed assets (real estate, office) are transferred at a premium. If it is transferred at a premium, you need to pay 20 personal income tax.

5. Changes in business scope

Changes in business scope include increasing or decreasing the scope of business projects and changes in business methods. When a company expands new business or adjusts its business areas, it must promptly go to the industrial and commercial department to change its business scope.

Note: If the new business scope belongs to the main business, it should be given top priority. When it comes to qualification approval, you need to apply for relevant qualifications in a timely manner.

6. Change of legal person

Change of legal person includes change of the company’s legal representative information. According to Article 13 of the Company Law, the legal representative of a company shall be the chairman, executive director or manager in accordance with the provisions of the company's articles of association and shall be registered in accordance with the law. If the legal representative of the company changes, the change registration must be carried out. If a company changes its legal representative, it must apply for change registration within 30 days from the date of the resolution or decision.

Note: This item is easily overlooked in actual operations, especially the change of the position of external supervisor.

Changing a company is not an easy matter. It involves the subsequent operations of the company. Therefore, you must be careful when making changes. In addition to preparing all the information, you also need to be familiar with the change process. Of course, , it is necessary to investigate changes in company name, registered address, legal person changes, and business scope changes to avoid losses.