There must be at least two shareholders or, according to the law, the share capital is to be contributed by at least two founders (Article 8, Law 2190/20) in order to form a company limited by shares. There is no binding provision on the investment ratio.
The founders of the company limited by shares can be natural persons or legal entities. Natural persons must have reached the age of 18 (Article 127, Greek Civil Code, modified by Article 3 of Law 1329/83). Minors are only permitted to invest in formation of a company limited by shares with the approval of a court.
Generally speaking, a minimum capital of EUR 24,000 is required to form an A.E. In certain cases, however, the law requires considerably more capital. Thus, according to Laws 1297/72 and 2166/93, the company limited by shares resulting from a merger or reorganization must have share capital of at least EUR 300,000.
- Key features of the company limited by shares (A.E.) in Greece:
- Relatively high level of capital required for formation
- The capital must be denominated in equal units forming the shares
- Strict requirements in terms of disclosure during formation and the entire existence of the company
- Lengthy existence (typically 50+ years)
- Limited liability on part of partners/shareholders
- Majority resolutions
- Existence of two executive bodies (general meeting, supervisory board)
- Formation of the A.E. (company limited by shares) must be documented by a notary and official permits, as applicable.