Close Corporation

Company

• Juristic person
• Enjoys perpetual succession
• Can have a maximum of 10 members
• Companies cannot hold a member's interest
• Comprise of members
• Has a founding statement
• Articles of association are not required
• Has member's contributions
• Has an accounting officer
• Annual general meeting not required
• Certificate of incorporation
• Members hold member's interest
• Can purchase a members interest
• Members are responsible for the day to day management of the CC
• No register of members
• Limited liability
• Financial statements
• No prohibition on a CC to provide financial assistance for the acquisition of a member's interest
• Since January 2006 an inter vivos trust can be member of a CC

• Juristic person
• Enjoys perpetual succession
• Companies can be share holders
• Comprise of directors and shareholders
• Has a memorandum
• Registered articles of association
• Has a share capital
• Convenes an annual general meeting
• Certificate of incorporation
• Members hold shares
• Can acquire its own shares under certain circumstances
• Directors are responsible for the day to day management of the company
• Register of members
• Limited liability
• Audited financial statements
• Prohibition on a company to provide financial assistance for the acquisition of its own shares
• A private company can have up to 50 shareholders
• A public company can have an unlimited number of shareholders