[상담해DREAM] Matters for Consideration After Incorporation

Matters for Consideration After Incorporation 

Entrepreneur “N”

 

Entrepreneur “N” has operated a foreign direct investment

company in Korea for five years since its establishment.

She has relocated her places of residence and business

over the past five years, but failed to change registrations,

which resulted in fines. To prevent such cases from recurring,

what should corporate representatives be aware of

after the establishment of a corporation?

A corporation should change registration accordingly

in case of any changes

 

There are a number of cases where the relevant registration

must be changed. However, corporate representatives

must change the registration in the following cases,

and the failure to do so may result in fines.

Changes in the place of residence of

the corporate representative

 

In the case of incorporation, the address of the corporate

representative is crucial. For this reason, certificates of residence,

including a certified copy of household register/certified copy of

individual register or certificate of fact on alien registration are required

when registering the company’s incorporation. Within two weeks after

a change in the address of the corporate representative,

the relevant registration must be made.

Changes in the place of business

 

When the addresses of a corporation’s head office

and/or branches are changed, the changes must be registered.

Any changes in addresses must be registered within two weeks

in the case of head offices and three weeks in the case of branches.

Following the registration, the address stated in the business license

must also be modified.

Changes in board members

 

Any change in board members should be reported.

When their term nears expiration, the resulting registration

concerning their retirement or reappointment is required

even if there is no change in the board members.

 

*If the competent report is not filed for five years,

the corporation in question is considered to be dormant.

The corporation shall enter into liquidation when it fails to

report the fact for eight years or longer.