Profits in limited liability company(LLC) in Poland

A shareholder is entitled to a share in the profit resulting from the an annual financial statements and allocated to distribution by the resolution of the meeting of shareholders. The company agreement may provide for another way of distributing the profits. Unless otherwise stated in the company agreement, the profit attributable to the shareholders is divided according to a shares' count. The amount to be shared among the shareholders can not exceed the profit from the last financial year, plus retained earnings from the previous years, and the amounts transferred from the reserve capitals that may be allocated for distribution. This amount should be reduced by uncovered losses, own shares and amounts which, according to the law or company agreement, should be transferred from the profit for the last financial year to the reserve capital.

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