What is commercial register?

What Does commercial register Mean

Registration is the process and result of recording (the act of observing something and taking notes or specifying information in a document). The concept is also used to name the system , instrument or paper where the data is stored. Mercantile , for its part, is that which is linked to commercial activity and merchandise.

It is known as record trade to the institution through which contracts and commercial acts are inscribed . It is a public entity whose limits and scope are set by law .

This administrative institution makes it possible to disclose the legal status of registered merchants. The usual thing is that those who engage in commerce must report certain data with obligation and that the commercial register disseminates the information to contribute to general legal certainty.
What the commercial register does, in short, is to disclose data on those persons , both legal and physical, who intervene in commercial operations. Thanks to this registry, potential investors, individuals who analyze the contracting of their products or services and public offices that require the data, have access to the information.
The characteristics of the commercial register depend on each country . In general, this registry is considered to be the proof that certifies the legal existence of a merchant and his business.
The data recorded for each business in the commercial register may include the commercial registration, the certificate of incorporation of a company , accounting books, successions and seizures, among others.
In Spain, a related concept is the Official Gazette of the Mercantile Registry , which is often referred to as BORME . It is the official body in charge of publicizing all legal acts that need to be made known to the general public. It is published in digital and paper format, and this work, as well as the dissemination of the bulletin, is carried out by the State Agency Official State Gazette.
Functions of the Mercantile Registry of Spain
* legalize company books . Entrepreneurs must present those that are mandatory in the Mercantile Registry corresponding to their domicile, in order to carry out their legalization, which consists of the following two steps:

1) leave a written record on the first page of the book of the entrepreneur's identifying data, the type of book (which can be inventories, diary or annual accounts), the content and the sealing system, the number of books belonging to the entrepreneur that they are of the same class and number of sheets of the book in question;
2) seal all the sheets through a procedure that demonstrates the authenticity of the process, such as mechanical perforation, stamping or printing.
* Appointing independent experts or experts to assess contributions to the company that are not made in money. For example, if one of the partners contributes a real estate, the way to know its valuation is to go to the Mercantile Registry and request this calculation , which will be put in the hands of a specialist;
* the appointment of auditors or experts , as necessary, as occurs in the event of a spin-off or merger;
* Act as the point at which the annual accounts that companies are required to submit within the first six months of the following fiscal year are deposited . In the Mercantile Registry, six years are kept from the publication in the Official Gazette ( BORME );
* legitimize the contracts and registered acts. The protection of the Commercial Registry seats is in charge of the Courts. Every society is designated as a legal person, and the rights enjoyed by natural persons are recognized , such as leasing, selling, buying, receiving goods from other persons (both physical and legal), testament and donation.

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