On 15 December 2023, Austria's National Council of the Parliament (lower house) adopted the Flexible Company Act (Flexible-Kapitalgesellschafts-Gesetz, FlexKapGG), which introduces a new company form, the "Flexible Company" (FlexCo) as of 1 January 2024.
As its name suggests, the FlexCo is all about being flexible. It addresses longstanding criticisms directed at Austria's predominant corporate form, the limited liability company (GmbH). The GmbH has faced extensive criticism in the start-up world due to its perceived lack of flexibility and strict formal requirements. The FlexCo combines features from both the conventional GmbH and the stock corporation (AG), but also introduces some totally new concepts to Austrian corporate law, such as company value shares.
But what exactly does the FlexCo bring to the table? To read more, click here.
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