Company conversions are an important secretarial transaction as Closed Corporations (“CC”) slowly become extinct. With the implementation of the new Companies Act 71 of 2008 (as amended), almost all of the advantages of having a CC can now be obtained by converting a to a Private Company (“Pty Ltd”).
While this process still has to be done through the Companies and Intellectual Property Commission (“CIPC”) (see here for instructions), InfoDocs helps with this in two ways:
- A “Member Resolution – Conversion of CC to PTY” template can be downloaded from the InfoDocs template library, filled in and submitted to the CIPC along with the rest of the required documents. InfoDocs offers two versions of the template – one with the option to appoint directors, and one without.
- Once the conversion has been lodged with the CIPC, the converted company (with new registration number) can then be searched on InfoDocs and added to your profile. In this way, both companies (the old and the new) can remain on your portfolio for reference and administrative purposes. The option is also always there to export the old CC’s records, remove it from your portfolio, and then add it back again later if necessary. To remove a company from your profile, follow the steps here.