Argentina: Legislative Changes for Companies with Sole Shareholder
This morning it was published in the Official Gazette the Law No. 27,290 (the Law), which amended the Argentine General Companies Law No. 19,550.
The amendment approved by the Law impacts on the companies that have a sole shareholder, known as "Sociedad Anónima Unipersonal."
The Law eliminates the need to appoint a minimum number of three directors (directores) and three syndics (síndicos), as it was initially requested. Now, the company can appoint at least one principal director and one principal syndic and one alternate syndic. This minimum can be increased if that is resolved by the shareholders and/or requested by the by-laws of the company.
With this change, the Law reflects what local entrepreneurs and investors requested, which is basically not to have the obligation to appoint too many officers for a company that intents to be dynamic and at the same time not to generate the payment of that many fees and costs.
We remain at full disposal in case of any further questions or comments.