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Formation Document Template for Belgium

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Key Requirements PROMPT example:

Formation Document

I need a formation document for establishing a private limited company in Belgium, detailing the roles and responsibilities of each founding member, the initial capital contribution, and the process for decision-making. The document should comply with Belgian corporate law and include provisions for dispute resolution and exit strategies.

What is a Formation Document?

A Formation Document (oprichtingsakte in Dutch, acte constitutif in French) is the official paperwork that brings your Belgian company to life. It contains your company's fundamental details - like its name, registered address, initial capital, and who the founders are - all following the Belgian Company Code requirements.

Once signed by all founders and verified by a Belgian notary, this document gets filed with the local business court and published in the Belgian Official Gazette. It's more than just paperwork - it's your company's birth certificate and rulebook combined, setting out how your business will operate and who can make decisions. For most Belgian companies, especially BVs and NVs, having this document properly prepared is a legal must-have before you can start doing business.

When should you use a Formation Document?

You need a Formation Document when starting any new company in Belgium, particularly before conducting business activities or signing contracts. For BVs and NVs, this document must be in place before you can legally operate, hire employees, or open a business bank account. It's also essential when seeking investment or applying for business loans, as banks and investors require proof of legal establishment.

The timing matters - prepare your Formation Document early in your business planning phase, ideally 4-6 weeks before your intended start date. This allows time for notarial verification, registration with the business court, and publication in the Belgian Official Gazette. Having it ready also helps avoid delays when registering for VAT numbers and social security.

What are the different types of Formation Document?

  • Basic Formation Document: The standard version used for simple BV/SRL structures, covering essential elements like company name, address, and shareholder details
  • Expanded Formation Document: Used for NV/SA companies, including detailed provisions about share classes, board structure, and corporate governance
  • Social Enterprise Formation: Special version for social purpose companies (VSO/SFS), adding specific social mission clauses and profit distribution limits
  • Professional Partnership Formation: Tailored for liberal professions, incorporating specific professional requirements and ethical guidelines
  • Subsidiary Formation: Modified version for creating Belgian subsidiaries of foreign companies, with additional provisions for parent company control

Who should typically use a Formation Document?

  • Company Founders: The initial shareholders or partners who sign the Formation Document and commit their capital or assets to the new business
  • Belgian Notaries: Required by law to verify, authenticate, and formalize the document before it can be registered
  • Business Lawyers: Draft and review the document to ensure compliance with Belgian company law and protect founders' interests
  • Company Directors: Named in the document as responsible for managing the company's affairs and implementing its governance structure
  • Court Registrars: Process and file the Formation Document with the Belgian Business Court and ensure publication in the Official Gazette

How do you write a Formation Document?

  • Basic Company Details: Gather the proposed company name, legal form (BV/SRL or NV/SA), registered office address, and business activities
  • Capital Structure: Determine initial capital, number of shares, and value per share
  • Founder Information: Collect full legal names, addresses, and ID details of all founding shareholders
  • Management Structure: Define director appointments, representation powers, and decision-making procedures
  • Financial Planning: Prepare financial plan showing capital adequacy for first two years
  • Notary Appointment: Schedule meeting with a Belgian notary for document authentication and filing

What should be included in a Formation Document?

  • Company Identity: Legal name, form (BV/SRL or NV/SA), registered office, and corporate purpose
  • Shareholder Details: Names, addresses, and contributions of all founding shareholders
  • Capital Structure: Total capital, number and types of shares, value per share, and payment terms
  • Management Provisions: Board composition, appointment procedures, and powers of representation
  • Operating Rules: Decision-making procedures, shareholder meetings, and profit distribution
  • Compliance Statements: Financial plan confirmation and Belgian Company Code adherence
  • Signature Block: Notarial authentication section and founder signatures

What's the difference between a Formation Document and an Amended Articles of Association?

A Formation Document differs significantly from an Amended Articles of Association, though both are fundamental corporate documents. While a Formation Document creates your company's legal existence, Amended Articles modify your existing company structure or operations after formation.

  • Timing and Purpose: Formation Documents are used once, at company creation, while Amended Articles are used throughout company life to update rules or structures
  • Legal Requirements: Formation Documents need initial notarial authentication and court filing, while Amended Articles require shareholder approval and subsequent notarial verification
  • Content Scope: Formation Documents establish basic company framework and initial capital, while Amended Articles modify specific aspects of operations or governance
  • Procedural Differences: Formation Documents require founder signatures and capital proof, while Amended Articles need shareholder meeting minutes and voting records

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