Private closed joint-stock holding companies are one of the advanced legal structures that offer flexibility and sustainability for investors in Syria. If you are considering establishing a company under this legal structure, here is a comprehensive guide on how to establish a private closed joint-stock holding company in Syria, from legal procedures to required documentation.
A private closed joint-stock holding company is one of the advanced legal structures that allows companies to expand, merge, and acquire shares in other companies. These companies can hold stakes in limited liability companies or joint-stock companies and provide flexibility in managing these companies through specialized administrative bodies.
1. Choosing the Company Name
The first step in establishing a company is selecting the business name. This name must be approved by the Companies Directorate and the Commercial and Industrial Protection Directorate. The name must be unique and not resemble other company names and must comply with the relevant regulations in Syria.
2. Legal Structure and Management
The legal structure of the company is a "Private Closed Joint-Stock Holding Company." Regarding the company’s management, a General Manager is appointed, and a board of directors is formed with at least three members. One of the board members can be a corporate entity.
3. Founders and Board Members
The names of the founders, their nationalities, the number of shares owned, and the subscription percentages must be determined. The capital is divided into shares, each worth 100 Syrian pounds, with the total capital amounting to one billion Syrian pounds.
4. Approved Activities for Holding Companies
Holding companies are authorized to own shares in other companies, whether limited liability or joint-stock companies. The holding company can also participate in establishing other companies and managing them according to the decisions of the General Assembly.
1. Preparing the Articles of Association and the Establishment Request:
In this step, the company’s articles of association are prepared, and an establishment request is submitted to the Ministry of Economy and Industry in Syria.
2. Obtaining Approval from the Commercial Protection Directorate:
The proposed company name is submitted for approval from the Commercial and Industrial Protection Directorate.
3. Issuing the Establishment Decision:
After approval, an establishment decision is issued, including the establishment of the company and the certification of the articles of association. The articles are then published in the Official Gazette.
4. Registering the Company in the Commercial Registry:
The decision is registered with the Commercial Registry in Damascus and is then transferred to the Ministry of Finance to process the decision and the articles of association and obtain a tax number.
5. Opening a Bank Account:
A bank account must be opened at a licensed bank, and the capital must be deposited to obtain a deposit certificate.
6. Employment and Registration Procedures:
Employees must be registered with the Social Security and Labor Authority in Damascus.
7. Obtaining Membership Certificates:
After completing the procedures, the company is registered with the Damascus Chamber of Commerce to obtain the company membership certificate, along with membership cards for the directors.
Private closed joint-stock holding companies are ideal for investors looking to expand their activities or acquire shares in other companies. Despite the complex procedures, the opportunities provided by these companies include flexibility in managing investments and facilitating company growth through partnerships.
Establishing a private closed joint-stock holding company in Syria requires following a series of legal and practical steps, starting from selecting the company name to obtaining the commercial registry. Through this legal structure, investors can strengthen their control over a group of companies and benefit from expansion and integration opportunities.
