The commercial register is an administrative institution whose purpose is to collect and record all acts related to commercial companies and their managers.
The main purpose of the mercantile registers is to serve as an instrument of publicity, since it is in this organism where the businessmen have to render accounts and deposit traces of their actions that are considered essential in the face of legal traffic. They perform the function of collecting information and giving it publicity for greater legal and economic security.
In this sense, in the mercantile registries a certificate is taken of the creation of a company, its modification, capital increases, acquisitions, takeovers, secessions, appointments and changes in the administrations of companies and deposit of the annual accounts of any company.
The information and information advertising methods are mainly two:
- Simple note: They are for informational value only.
- Certifications: Where the registrar gives good faith and accredits the content of information
Functions of business registers
The functions of the commercial register are the following:
- It legalizes and seals the books of the entrepreneurs: These must be presented in the commercial register closest to the registered office to carry out the diligence in the first folio of the book where the information of the employer is recorded.
- Appointment of experts and commercial experts: They define which professionals will be in charge of assessing the contributions to companies, and in the case of other problems where expert help is required.
- Appoint auditors. This, and operations of division, absorption or merger.
- It is the place of deposit and custody of the annual accounts: This, for those companies that are obliged to carry them out.
- Legitimate operations: It gives validity to commercial acts derived from decisions and changes in companies.
- Registration: The persons in charge, with powers and representatives in the companies, are registered in such a way that the assignment of positions in each company is transparent.
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