The abolition of minimum capital requirements for all types of companies except public joint-stock companies means that other companies, such as limited liability companies, sole proprietorships, and partnerships, are no longer required to provide a specified capital amount at their inception. This decision can have several benefits and impacts: ### Benefits of Abolishing Minimum Capital Requirements: 1. **Encouraging Entrepreneurship**: This decision makes it easier for individuals to start their own businesses without needing to provide significant initial capital. 2. **Attracting Small Investments**: Small and medium-sized enterprises can start operating with limited resources, encouraging small investments. 3. **Simplifying Bureaucratic Procedures**: It reduces bureaucratic complexities and financial procedures related to company formation. 4. **Increasing the Number of Startups**: It can lead to an increase in the number of startups, contributing to economic growth and job creation. ### Potential Impacts: 1. **Increased Financial Risks**: It may increase the number of companies with limited financial capacity, potentially affecting their stability and sustainability in the market. 2. **Creditor Protection**: There may be a need to enhance mechanisms for protecting creditors to ensure they are not exposed to significant financial risks from dealing with minimally capitalized companies. 3. **Ensuring Quality**: Standards and procedures should be established to ensure the quality and sustainability of new companies, preventing an increase in poorly performing businesses. ### In Conclusion: Abolishing minimum capital requirements can be a positive step towards supporting entrepreneurship and boosting the economy, but it requires parallel measures to protect all stakeholders and ensure market stability.
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