ECONOMY OF VETERINARY BUSINESS. Doc. MVDr. Vladimíra Pištěková, Ph.D.
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1 ECONOMY OF VETERINARY BUSINESS Doc. MVDr. Vladimíra Pištěková, Ph.D.
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5 After graduation enterpreneur employee??
6 Business activity
7 Definition: Business activity is defined as systematic activity carried out independently by a physical person or a legal entity, in their own name and at their own liability, with the intention of making a profit. (Civil law)
8 The most important impact on the business activity have: Constitutional Law Civil Code (No. 89/2012 Coll.) Trade Licensing Act (No. 455/1991 Coll.) Agriculture Law (No. 85/2004 Coll.) Law on commercial companies and cooperatives Law on commercial corporations (No. 90/2012 Coll.)
9 Constitutional Law The right of everyone to operate a business or other economic activity is an internal part of the Document of Basic Rights and Freedoms which is a part of this Law.
10 Trade Licensing Act It is the basic legal regulation governing the relationships between entrepreneurs operating licensed trades and the State as well as the basic conditions for the majority of business activity of legal entities and individuals.
11 Civil Code regulates property relationships of individuals and legal entities, property relationship between these persons and the state as well as relationships following from the right to protection of persons. governs the forms of business entities, the rights and obligations of persons carrying out business activities, commercial commitments and other relationships connected with domestic and also foreign business activity.
12 Entrepreneurs: Individuals Legal entities
13 Individual is a citizen. The capacity of an individual to have rights and duties shall arises at the moment of his or her birth. A full capacity of an individual to acquire rights and assume duties on the basis of the own legal acts shall arise at the moment of his or her majority.
14 Division of persons previous regulation Persons Persons present regulation Individuals Legal entities Association of LE or I Purpose association of property Units of local authorities Other units according to special law individuals Legal entities corporations foundations institute man unit Commercial corporations foundations Foundations funds
15 General conditions for a business operation: the age of 18, competency for legal acts, integrity, submitting a certificate that the individual entity does not have delinquent taxes against the local revenue body of the state.
16 Entrepreneurs: in the area of an agricultural production, forestry and management of watercovered areas, a licensed trade, other business activity according to statutory provisions, registered in the Public Register.
17 Identification number (IČ): It is necessary for recording entrepreneurs with Czech Statistical Office. Tax identification number (DIČ): For the purposes of local financial office.
18 Business companies in the Czech Republic: 1) General Commercial Partnership, 2) Limited Partnership, 3) Limited Liability Company, 4) Joint Stock Company.
19 Commercial Register The company must apply for registration in the Commercial Register. Once it is entered the Commercial Register, the company legally exists. Applications for registration in the Commercial Register must be accompanied by the partnership agreement or the deed of foundation in the form of a notary record.
20 General Commercial Partnership (v.o.s) The main feature of a partnership is that the liability of each partner is unlimited. No minimum deposit is required. Deposits that are to be made must be recorded in the partnership agreement. The partnership regulates the rights of the partners internally. All partners are liable for company obligations by the whole personal asset.
21 Limited Partnership (k.s.) A limited partnership is a trading partnership, where one or more partners are responsible for the obligations of the company to the extent their contribution to the company capital (limited partners) and one or more partners answer for liabilities with their whole assets (unlimited partners).
22 Limited Liability Company (s.r.o.) The liability of each participant for the debts of the company is limited to the amount of the total unpaid registered capital in the company according to the Commercial Register. The company may be founded by a single person, either a legal entity or an individual.
23 Joint Stock Company (a.s.) A joint stock company is the legal form preferred by state authorities for joint ventures. A joint stock company must have a Board of Directors and a Supervisory Board. A joint-stock company can be formed by one or more entities, including the state or a commercial legal entity; if formed by private individuals, formation must be by at least two individuals.
24 Cooperative (družstvo) is legal entity whose members are not liable for its debts. Cooperative is open society of the persons with purpose of doing business for its members. The members have to deposit the basic capital. It is run by the board of directors whose work is controlled by supervisory board. The major body of the cooperative is board meeting.
25 ACT No. 455/1991 Coll. Trades Licensing Act
26 A Licensed Trade (definition): is a systematic activity, performed independently, in one's own name, at one's own responsibility, for the purpose to achieve profit and under the conditions set forth by this law.
27 The general conditions for doing trade by individual: 1. be at least 18 years old, 2. be capable of performing legal tasks, 3. have a clean criminal record, 4. present documents confirming that the individual does not owe taxes to the state financial authorities (financial office).
28 The currently valid Trade Licensing Law differentiates: notifiable trades, concession trades, non-regulated trades professional (craft) trades regulated trades
29 Professional trades Butchery and meat processing, Bakery and confectionery products, Masonry, Hair cutting, Chimney sweeping, Cleaning of textiles and clothing Cosmetic services
30 Regulated trades optician, business in the field of hazardous waste management, pet shops, animal training, trading in animals used for livestock breeding
31 Concession trades road transport, security guards, private detective services, funeral services, operating of pyrotechnic monitoring
32 The differentiation from the standpoint of the business subject: manufacturing, business, provision of services.
33 Authorised representative is a person that is responsible for the proper operation of the trade and who has a labourlaw relation to the entrepreneur. The authorised representative must fulfil general and specific requirements for the operation of trade, must have permanent residency in the Czech Republic.
34 Enterprise Ownership or hiring certificate proper and visible sign determining of the person responsible for the establishment name and surname of the person responsible for the activities of establishments, sales, operating time (sale of goods and services )
35 Proof of trade authorisation trade licence Now! concession licence Statement from the Trade Licensing Register
36 Documents submitted for trades: Notification of trade or Application for Concession, Statement of criminal record for the entrepreneur or his authorised representative, Declaration of the authorised representative, Document confirming the fact that the individual has no debts toward state authorities, Document regarding ownership or other rights to premises, Document regarding payment of administrative fees for each trade.
37 Administrative and other fees: -fee of CZK 1,000 for the issue of Trade Authorisation -fee of CZK 500 for the issue of the other trade, - fee of CZK 100 for a statement from the Criminal Record Register.
38 Termination of trade activity: death of a trademan, expiry of a period for which a trade licence was issued, decree of the Trade Licensed Authority.
39 Official deadline The Trade Licensing Authority is required to issue a Trade Authorisation within 15 days following the notification of trade.
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