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Knowledge track
Corporate Law Terms
Corporate Law glossary terms connected to legal problems, guides, resources, lawyers, law firms, and booking paths.
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01
Corporate Law TermsFeatured
Annual return
A recurring CIPC filing used by South African companies and close corporations to confirm continued registration and update required information.
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Beneficial ownership
Information about the natural persons who ultimately own, control, or benefit from a company or close corporation.
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Board resolution
A formal decision recorded by a company's board of directors under the company's governance rules.
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Business rescue
A Companies Act process intended to rehabilitate a financially distressed company under supervision of a business rescue practitioner.
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Company registration
The incorporation or registration of a company with CIPC so that it exists as a juristic person under South African company law.
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Director
A person appointed to manage or help manage the business and affairs of a company under the Companies Act framework.
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Fundamental transaction
A major company transaction under the Companies Act framework, such as a significant disposal, merger, amalgamation, or scheme arrangement.
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Liquidation
A legal process for winding up a company or close corporation, collecting assets, dealing with creditors, and ending or resolving the entity's affairs.
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Memorandum of Incorporation
A company's founding constitutional document that sets out its governance rules, powers, rights, and internal arrangements under the Companies Act.
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Prescribed officer
A senior company officer who may be treated similarly to a director for certain Companies Act duties and liability questions.
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Private company
A company type commonly used for South African businesses, usually identified by '(Pty) Ltd' and regulated under the Companies Act.
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Shareholder
A person or entity that holds shares in a company and has rights and obligations linked to those shares.
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Shareholders agreement
A contract between shareholders that regulates ownership, control, decision-making, exits, and dispute handling in a company.
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Solvency and liquidity test
A Companies Act test used to assess whether a company can pay its debts and whether its assets exceed its liabilities after a proposed action.
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