The Study Of The External Equity Transfer System Of Limited Liability Company

Limited Liability Company referred to CO or LLD, it had three obvious features: onewas that the size of the company was relatively small, and the threshold set by the legalwas relatively low; the second was that the number of shareholders in the companywas less a lot compared to the unlimited company, no more than200people; the thirdwas that the legal for the limited liability company’s requirements were low about itsstatutory registered capital. After the birth of the limited liability company, it wassubjected to a large number of investors’ welcome very soon, and quickly developedinto a leader in the corporate form of organization, and constituted the important partof the modern economy. Limited Liability Company was both "co-author of" and"co-financing" of the characteristics. It decided that the transfer possession of stockrights no so free as stock liability company, and must made proper restrictiveprovisions. Due to the factors that about the change of the reality and the judicialpracticed of personnel different solution. So the system was not perfect, provisionswere not clear and didn’t explain the detailed problems. This would make adverseeffect on Limited Liability Company’s existence and development, and damaged thelegitimate interests of shareholders, and also adversed impact on social and economicdevelopment. Thus it can be seen conducted a systematic study of the external share’stransfer of Limited Liability Company was very necessary. The article based on theprovisions of Article71of the "Company Law"，it analyzed the current situation ofChina’s legislation, and analyzed the existing legislation in China, and learned from thebasis of other countries and the outside regions’ legislation, and the author proposedfour areas of legislative proposals. The main content was divided into four parts:The first part comprehensively described the Limited Liability Company’s externaltransfer system, due to the different concepts of the Limited Liability Company’sexternal transfer system form other articles’, so, firstly defined the question about theconcept; secondly analyzed the features of the Limited Liability Company’s externaltransfer system; finally discussed the legal basis of the Limited Liability Company’sexternal transfer system, and analyzed the necessity of the theoretical analysis.The second part introduced present legislation situation of external equity transfersystem of Foreign Limited Liability Company, then made a brief evaluation analysis on this basis. Both of them were used to pave the way for perfecting relevantregulations in our country.The third part analyzed present legislation status of external equity transfer of LLD,and elaborated current legislative defects that existing in the system.Based on the existing problems that had mentioned above, the fourth part drow lessonsabout external equity transfer legislation from outside and put forward severalsuggestions to perfect the legislation in our country.