Small businesses, whose members have a close relationship and want to start up with simple administration and legal procedures, are advised to register for a CC. Other advantages include:
A CC is a legal entity
Audited financial statements are not required
Meetings are not compulsory and can be held on an ad hoc basis
CCs may become shareholders in other companies
All members may take part in management
The proprietor or member is not personally liable for the debts of a CC
The legal procedures for
registration and administration are kept relatively simple.
