{"id":1416,"date":"2013-05-17T10:51:45","date_gmt":"2013-05-17T10:51:45","guid":{"rendered":"https:\/\/vila.es\/en\/?p=1416"},"modified":"2022-01-18T12:55:23","modified_gmt":"2022-01-18T12:55:23","slug":"the-characteristics-of-employee-owned-companies","status":"publish","type":"post","link":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/","title":{"rendered":"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>I.- INTRODUCTION<\/strong><\/p>\n<p style=\"text-align: justify;\">Employee-owned companies are companies in which the majority of its share capital belongs to employee shareholders of the company. This type of company is regulated in the Employee-owned companies Act 4\/1997, and in Royal Decree 2114\/1998, regarding the registration of joint stock employee-owned companies.<\/p>\n<p style=\"text-align: justify;\"><strong>II.- MAIN CHARACTERISTICS<\/strong><\/p>\n<p style=\"text-align: justify;\">&#8211; Company types. Employee-owned companies may be incorporated (or converted) as a limited liability company (\u201cemployee-owned limited company\u201d or \u201cELC\u201d), or a joint stock company (\u201cemployee-owned joint stock company\u201d or \u201cEJSC<\/p>\n<p style=\"text-align: justify;\">&#8211; Share capital. Minimum share capital varies depending on whether the employee-owned company is incorporated as an ELC (3.000 \u20ac) or an EJSC (60.000\u20ac), said share capital being in turn divided into participations or nominative shares, respectively. Likewise, the participations or shares may take on one of two forms: employee, which are subscribed by the employee shareholders of the company and must represent more than 50% of total share capital; and general, which are property of shareholders who do not work in the company. The majority of the share capital must belong to the employee shareholders of the company and no shareholder must hold more than one third thereof (except in cases of the public administration or a non-profit entity, in which case said percentage may be exceeded, without reaching 50% of the share capital).<\/p>\n<p style=\"text-align: justify;\">&#8211; Employee shareholders. This type of shareholder must work for the company personally and directly with a permanent employment contract (whether full or part time).<\/p>\n<p style=\"text-align: justify;\">&#8211; Non-employee shareholders. The number of hours per year worked by permanent employees who are not shareholders of the employee-owned company may not exceed 15% of the hours per year worked by the employee shareholders (when the company has 25 or more employee shareholders), or 25% (when the company has less than 25 or more employee shareholders).<\/p>\n<p style=\"text-align: justify;\">&#8211; Financial regimen. Employee-owned companies are obliged to allocate 10% of the liquid profits of each financial year to a special reserve fund. If they wish to enjoy tax benefits, the percentage of liquid profits allocated to said fund is 25%.<\/p>\n<p style=\"text-align: justify;\">&#8211; Tax regimen. Employee-owned companies, which fulfil legal requirements, are entitled to rebates of 99% in certain operations subject to transfer tax (Impuesto de Transmisiones Patrimoniales y Actos Jur\u00eddicos Documentados). Likewise, in certain circumstances, they are also free to redeem certain elements of company assets in their Corporate Tax declarations.<\/p>\n<p style=\"text-align: justify;\"><strong>III.- CONCLUSION<\/strong><\/p>\n<p style=\"text-align: justify;\">In practice, employee-owned companies are advisable for small and medium-sized\u00a0companies or family businesses, who have a corporate object related to basic industry.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: justify;\">Vil\u00e1 Abogados<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: justify;\">For more information, please contact:<\/p>\n<p style=\"text-align: justify;\"><a href=\"mailto:va@vila.es\"><span style=\"color: #3366ff;\">va@vila.es<\/span><\/a><\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: justify;\">17<sup>th<\/sup> May 2013<\/p>\n","protected":false},"excerpt":{"rendered":"<p>I.- INTRODUCTION Employee-owned companies are companies in which the majority of its share capital belongs to employee shareholders of the company. This type of company is regulated in the Employee-owned companies Act 4\/1997, and in Royal Decree 2114\/1998, regarding the registration of joint stock employee-owned companies. II.- MAIN CHARACTERISTICS &#8211; Company types. Employee-owned companies may  [&#8230;]<\/p>\n","protected":false},"author":4,"featured_media":5986,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[73],"tags":[],"class_list":["post-1416","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-corporate"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES - Vil\u00e1 Abogados<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES - Vil\u00e1 Abogados\" \/>\n<meta property=\"og:description\" content=\"I.- INTRODUCTION Employee-owned companies are companies in which the majority of its share capital belongs to employee shareholders of the company. This type of company is regulated in the Employee-owned companies Act 4\/1997, and in Royal Decree 2114\/1998, regarding the registration of joint stock employee-owned companies. II.- MAIN CHARACTERISTICS &#8211; Company types. Employee-owned companies may [...]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\" \/>\n<meta property=\"og:site_name\" content=\"Vil\u00e1 Abogados\" \/>\n<meta property=\"article:published_time\" content=\"2013-05-17T10:51:45+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-01-18T12:55:23+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"669\" \/>\n\t<meta property=\"og:image:height\" content=\"272\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Vil\u00e1 Abogados\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Vil\u00e1 Abogados\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\"},\"author\":{\"name\":\"Vil\u00e1 Abogados\",\"@id\":\"https:\/\/vila.es\/en\/#\/schema\/person\/1338568a83d16fbfd6073c8cc4834904\"},\"headline\":\"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES\",\"datePublished\":\"2013-05-17T10:51:45+00:00\",\"dateModified\":\"2022-01-18T12:55:23+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\"},\"wordCount\":424,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg\",\"articleSection\":[\"Corporate\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\",\"url\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\",\"name\":\"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES - Vil\u00e1 Abogados\",\"isPartOf\":{\"@id\":\"https:\/\/vila.es\/en\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg\",\"datePublished\":\"2013-05-17T10:51:45+00:00\",\"dateModified\":\"2022-01-18T12:55:23+00:00\",\"author\":{\"@id\":\"https:\/\/vila.es\/en\/#\/schema\/person\/1338568a83d16fbfd6073c8cc4834904\"},\"breadcrumb\":{\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage\",\"url\":\"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg\",\"contentUrl\":\"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg\",\"width\":669,\"height\":272},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Portada\",\"item\":\"https:\/\/vila.es\/en\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/vila.es\/en\/#website\",\"url\":\"https:\/\/vila.es\/en\/\",\"name\":\"Vil\u00e1 Abogados\",\"description\":\"Damos soporte jur\u00eddico a proyectos e iniciativas de negocio de empresas y de emprendedores extranjeros y nacionales\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/vila.es\/en\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/vila.es\/en\/#\/schema\/person\/1338568a83d16fbfd6073c8cc4834904\",\"name\":\"Vil\u00e1 Abogados\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/vila.es\/en\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/80372a28ffd84e8b62261dc710c686e32c574bf8a1c71bfd6ebfba0f351a081b?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/80372a28ffd84e8b62261dc710c686e32c574bf8a1c71bfd6ebfba0f351a081b?s=96&d=mm&r=g\",\"caption\":\"Vil\u00e1 Abogados\"},\"url\":\"https:\/\/vila.es\/en\/author\/vilaes\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES - Vil\u00e1 Abogados","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/","og_locale":"en_US","og_type":"article","og_title":"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES - Vil\u00e1 Abogados","og_description":"I.- INTRODUCTION Employee-owned companies are companies in which the majority of its share capital belongs to employee shareholders of the company. This type of company is regulated in the Employee-owned companies Act 4\/1997, and in Royal Decree 2114\/1998, regarding the registration of joint stock employee-owned companies. II.- MAIN CHARACTERISTICS &#8211; Company types. Employee-owned companies may [...]","og_url":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/","og_site_name":"Vil\u00e1 Abogados","article_published_time":"2013-05-17T10:51:45+00:00","article_modified_time":"2022-01-18T12:55:23+00:00","og_image":[{"width":669,"height":272,"url":"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg","type":"image\/jpeg"}],"author":"Vil\u00e1 Abogados","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Vil\u00e1 Abogados","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#article","isPartOf":{"@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/"},"author":{"name":"Vil\u00e1 Abogados","@id":"https:\/\/vila.es\/en\/#\/schema\/person\/1338568a83d16fbfd6073c8cc4834904"},"headline":"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES","datePublished":"2013-05-17T10:51:45+00:00","dateModified":"2022-01-18T12:55:23+00:00","mainEntityOfPage":{"@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/"},"wordCount":424,"commentCount":0,"image":{"@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage"},"thumbnailUrl":"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg","articleSection":["Corporate"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/","url":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/","name":"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES - Vil\u00e1 Abogados","isPartOf":{"@id":"https:\/\/vila.es\/en\/#website"},"primaryImageOfPage":{"@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage"},"image":{"@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage"},"thumbnailUrl":"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg","datePublished":"2013-05-17T10:51:45+00:00","dateModified":"2022-01-18T12:55:23+00:00","author":{"@id":"https:\/\/vila.es\/en\/#\/schema\/person\/1338568a83d16fbfd6073c8cc4834904"},"breadcrumb":{"@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#primaryimage","url":"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg","contentUrl":"https:\/\/vila.es\/wp-content\/uploads\/2020\/07\/societario2.jpg","width":669,"height":272},{"@type":"BreadcrumbList","@id":"https:\/\/vila.es\/en\/corporate\/the-characteristics-of-employee-owned-companies\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Portada","item":"https:\/\/vila.es\/en\/"},{"@type":"ListItem","position":2,"name":"THE CHARACTERISTICS OF EMPLOYEE-OWNED COMPANIES"}]},{"@type":"WebSite","@id":"https:\/\/vila.es\/en\/#website","url":"https:\/\/vila.es\/en\/","name":"Vil\u00e1 Abogados","description":"Damos soporte jur\u00eddico a proyectos e iniciativas de negocio de empresas y de emprendedores extranjeros y nacionales","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/vila.es\/en\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/vila.es\/en\/#\/schema\/person\/1338568a83d16fbfd6073c8cc4834904","name":"Vil\u00e1 Abogados","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/vila.es\/en\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/80372a28ffd84e8b62261dc710c686e32c574bf8a1c71bfd6ebfba0f351a081b?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/80372a28ffd84e8b62261dc710c686e32c574bf8a1c71bfd6ebfba0f351a081b?s=96&d=mm&r=g","caption":"Vil\u00e1 Abogados"},"url":"https:\/\/vila.es\/en\/author\/vilaes\/"}]}},"_links":{"self":[{"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/posts\/1416","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/comments?post=1416"}],"version-history":[{"count":2,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/posts\/1416\/revisions"}],"predecessor-version":[{"id":11378,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/posts\/1416\/revisions\/11378"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/media\/5986"}],"wp:attachment":[{"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/media?parent=1416"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/categories?post=1416"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vila.es\/en\/wp-json\/wp\/v2\/tags?post=1416"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}