Civic Association: Procedure for Buying a New Association vs. Ready-Made Association

Civic associations (OZ) are among the popular legal forms for organizing activities with diverse goals – from charity projects, cultural and sports events, to professional and educational activities. When establishing or purchasing a civic association, you have two options: establishing a new association or purchasing an existing one, so-called ready-made association. What is the difference between them? What are the advantages, disadvantages and procedures?

Procedure for purchasing a new civic association

The establishment of a new civic association is a process that requires the fulfillment of legal obligations under Act No. 83/1990 Coll. on Citizens' Associations. This procedure includes:

• Drafting the statutes: The statutes are the basic document of the association, which must contain the name, registered office, objectives, method of management, membership rules and other information.
• Convening of the founding assembly: At this assembly, the founders adopt the statutes and approve the establishment of the association.
• Submitting an application to the Ministry of the Interior of the Slovak Republic: The application for registration of an association must include the statutes and a list of founders (at least three). The Ministry will decide on registration within 10 working days of submitting the application.
• Obtaining an organization identification number (IČO): After approval by the Ministry, it is necessary to apply for an organization identification number (IČO) at the Statistical Office of the Slovak Republic.

Duration of the process: Establishing a new civic association usually takes approximately 2–4 weeks, depending on the speed of registration and assignment of a business registration number.

What is a ready-made civic association?

A ready-made civic association is an existing association that has been established for the purpose of resale. This association has no history of activity, has no liabilities or receivables, and is fully ready for transfer. Its purchase is an ideal solution for those who want to save time and avoid the administrative tasks associated with establishing an association.

Procedure for purchasing a ready-made civic association

• Choosing an association: Choosing an association is very important. Our law firm offers you, in addition to ensuring the entire administrative process, professional advice in choosing the civic association that will be most ideal for you. Our experienced team of lawyers will meet all your requirements.
• Signing the contract: After selecting a suitable association, a contract is concluded on the transfer of membership rights and obligations. This contract ensures that you become the legal owner of the association.
• Amendment of the statutes and registration of changes: If you wish to change the name, registered office, objectives or other details of the association, these changes must be submitted to the Ministry of the Interior of the Slovak Republic.

Process duration:

The purchase of a ready-made association and its transfer to a new owner can be completed within 1–2 days. If additional amendments to the statutes are required, the process can take several days to weeks.

Advantages of buying a ready-made civic association

• Speed: The biggest advantage is time savings, as the association already exists and is ready for immediate use.
• Simplicity: There is no need to draft articles of association, a founding meeting, and registration.
• No history: Ready-made associations are “clean”, without any previous activity, liabilities or legal problems.

Risks associated with buying a ready-made association

• Limited control: When purchasing a ready-made association, it is important to check whether the association was truly “clean” and free of legal or financial obligations.
• Additional costs: If you want to change the name or other details of the association, this may result in additional administrative fees and prolongation of the process.
• Dependence on the intermediary: The quality and transparency of the intermediary can affect the security of the entire process.

Summary: Which method is right for you?

• Starting a new association is suitable if you want to have full control over every aspect of the formation and if you don't mind dedicating more time to the process.
• Buying a ready-made association is ideal for those who need an association quickly and without lengthy administration.

It is always recommended to consult an expert when buying an association, who will ensure that the entire process runs smoothly and without risks. Our law firm will be happy to help you with this - whether it is establishing a new association or purchasing a ready-made solution. Do not hesitate to contact us with any request. Our top team of lawyers and accountants is here for you in every situation and under any circumstances.