Research On Share Repurchase System Of Limited Liability Company

The company’s shareholders have the right to request the company to buy back the company’s equity held by shareholders.The legal system of leaving the company in such a paid way is called the equity buyback system.The company can,according to the specific circumstances,recover the equity value held by shareholders when certain conditions are met.The system can adjust the capital structure and equity structure of the company to meet the needs of long-term operation,maintain the stability of the company,and protect the interests of shareholders.In terms of legislation,China’s company law gradually liberalizes capital control and expands the autonomy of enterprises.Compared with the specific laws and regulations of the joint stock limited company,and considering the unique contribution of the limited liability company to the development of China’s market economy,it is urgent to detail the relevant regulations of its share repurchase.The current law has not specified the specific norms of the share repurchase,which to some extent hinders the smooth progress of the share repurchase in the judicial practice.Throughout the early legislative provisions of various countries or regions,there are great differences.However,with the rapid economic growth in recent years,the number of enterprises is also gradually increasing.As for the share repurchase of limited liability companies,most countries adopt a consistent attitude of "allowing in principle,with conditional restrictions".Starting with the basic theory of equity repurchase,the author analyzes the necessity of its improvement,summarizes and summarizes a series of problems in China’s current equity repurchase system in limited companies,and compares and analyzes the legal experience of major foreign countries in this respect,so as to provide reference and inspiration for reviewing and improving the current equity repurchase system.This article sorts out the current stage and development of the share repurchase system of limited liability companies in China,analyzes the applicable subjects,scope and application procedures of share repurchase,and finds the problems in the abovementioned system and makes specific suggestions.In terms of rights,it is recommended to make detailed regulations for the subject qualifications of different types of shareholders,and to appropriately increase the specific circumstances applicable to share repurchase;in terms of procedures,it is recommended to formulate standard procedures for share repurchase and special handling of special circumstances in the repurchase process In order to better utilize the functions of the share repurchase system and promote limited liability companies to make a strong contribution to China’s market economy.