DSC | Christoph Leitgeb on the new FlexCo (Flexible Company)
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New FlexCo: article by Christoph Leitgeb

04 July 2023

Austrian startups and founders have to overcome countless hurdles - among them also numerous corporate law issues. First and foremost, for example, the rigid structure of the corporate forms currently provided for in Austrian law and the amount of minimum share capital, the notarial act requirement for limited companies' share transfers and the uniformity of the limited company's shares.

In order to make Austrian startups and founders more competitive in the international competition for investor capital, a ministerial draft for the creation of a Flexible Corporation / Flexible Company (Flexible Kapitalgesellschafts-Gesetz - FlexKapGG) was published on May 26, 2023.

Being a "hybrid form" between a GmbH and a stock corporation, the FlexCo has its bases on the Limited Company Act. However, it allows additional for additional structuring options, for example with regard to the simplified decision making of circular resolutions, the issuance of company value shares as well as capital measures, which have so far been reserved for the stock corporation.

In addition, the ministerial draft provides for a (renewed) reduction of the limited company's minimum share capital.

In a comprehensive overview on wirtschaftsanwaelte.at, DSC partner Christoph Leitgeb highlights the most important innovations.

Read full article >>

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