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An institute is usually a scientific, research, educational, cultural, professional or medical institution or a specialized organization, or a university institute, which is part of a university. It is a legal entity established for the purpose of conducting activities useful socially or economically with the use of personal and property components. The results of the institute's activities are equally available to everyone under predetermined conditions.

In general language, the word "institute" is sometimes used for objects or entities that do not have this word in their name (eg primary school, secondary school or university are referred to as an educational institute).

Our consulting company also provides, within its services, the service of establishing or dissolution of an institute according to the instructions of its client,

Establishment of the institute

To establish the institute, it is necessary to draw up a founding document in the form of a public document. The institute can also be established by last will.

The founding document contains the following essentials:

  • Name of the institute and its registered address
  • Purpose of the institute by defining the subject of its activity, or the subject of its business
  • Information on the amount of the deposit, or on its non-monetary object
  • Number of members of the Board of Directors and the names and residences of its first members
  • Details of the internal organization of the institute, if the regulation of the internal organization of the institute is not reserved for the Statute (more detailed document in comparison with the founding document)

Institution bodies

The bodies of the institute are the Director and the Board of Directors; a supervisory board or a body of a similar nature may also be established. The statutory body of the institute is the Director, or a person with a similar designation. The Director cannot be a member of the board of directors or the supervisory board, membership in the Board of Directors is not compatible with membership in the supervisory board.

The members of the Board of Directors are appointed and removed by the founder, or the Supervisory Board, if established. Otherwise, the board of directors elects and removes its members itself. The term of office of a member of the Board of Directors is three years, unless the founding legal proceedings stipulate a different length. Unless the founding legal action precludes it, a member of the Board of Directors may be re-elected. However, if the Management Board elects and removes its members itself, the same person may be re-elected for a maximum of two consecutive terms.

The Director is elected and removed by the Board of Directors, which at the same time supervises the performance of his powers and decides on the legal proceedings of the institute vis-à-vis the Director, acting on its behalf by its chairman. The Board of Directors approves the budget, financial statements and annual reports of the Institute.

Annual Report

In addition to the mandatory accounting data, the annual report of the institute contains other essential data on the activities and management of the institute. It also contains information on the amount of benefits provided to the members of the bodies of the institute and on any changes in the founding legal conduct or changes in membership in the bodies of the institute. The annual report is published no later than six months after the end of the accounting period by depositing it in the collection of documents, unless the founding legal action specifies another method of publication.

Dissolution of the institute

The institute ceases to exist upon deletion from the public register. The court will do so at the request of a person who proves a legal interest. The institute will cease to exist if the institute does not fulfil its purpose for a long time.

Establishment of a tailor-made institute starting from CZK 19,900 including VAT!

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