Chief Executive Officer
CEO – an abbreviation that has also become established in the Slovak context. It generally refers to the person responsible for the management and business operations of a company. In our context, this is usually the managing director (in a limited liability company).
▪️But what are the general requirements for appointment to the position of managing director of an LLC under applicable law (unless otherwise provided by law):
– reaching the age of 18
– legal capacity
– integrity
Why these requirements?
Because these are the requirements necessary to operate trades under the Trade Licensing Act, and in the case of legal entities (e.g. LLCs), they must be met by the statutory bodies (i.e. the managing director(s)).
Are there any other specifics?
YES:
Managing director(s) of an LLC:
- NUMBER: at least one managing director; multiple managing directors may be appointed (the law does not limit the number of managing directors as it does with LLC members, whose number is capped at 50)
- FOREIGN CEO: pay attention if you intend to appoint a foreign natural person as managing director – before registering a foreign natural person as a person authorised to act on behalf of an entrepreneur, the registry court will verify whether that natural person has a residence permit in the Slovak Republic. A permit is not required if the person is a citizen of an EU Member State or of a member state of the Organisation for Economic Co-operation and Development (OECD)
- ENFORCEMENT PROCEEDINGS: an LLC managing director may only be a natural person who, at the time of registration in the Commercial Register, is not listed as an obligor in the register of authorisations for the enforcement of execution proceedings under a special law.
Should we know anything else?
YES:
Regarding the concept of special professional competence (under the Trade Licensing Act) – this concept does not necessarily have to relate to the managing director – if a business operates in an area requiring special professional competence, it is sufficient for this requirement to be “covered” by a so-called responsible representative.
Do you need to change or appoint managing directors, dismiss them, draft an agreement on the performance of their office, or help arrange authorisations for business activities?
Write to us.📩 skypalova@skylex.sk
