R
USSIA
B
RIEFING
The Practical Application of Russia Business
Issue 11•November 2014Structuring the
General Director
Position during
Crisis Time
In Cooperation with
• The General Director Function as a Service
• Limiting the Power of the General Director in Russia: New Options
• Case Study: Structuring your Management Company in Russia
• A (mental) Revolution in the Russian Civil Code?
• Outsourcing the General Director – A Solution in Crisis Times
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Issue 11•November 2014
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Content for this publication is provided by RUSSIA CONSULTING with layout and design provided by Asia Briefing Ltd.
Dear Reader,
Russia’s reputation is not the best at the moment and the economic development of the country has been weaker now than it has been for quite some years. Modernization of the country was a key term some years ago; however, nowadays nobody talks about this any longer. And recently, an extensive discussion started about potential tax increases and we are missing a person who brings this discussion to an end. Perspectives do look rather poor at the first glance.
However, at the same time, we see quite a few initiatives which are coming from the Russian state administration that further develop the legislative framework for the positive. In recent issues of RUSSIA BRIEFING, we explained, for instance, the progress with the Customs Union of Russia, Belarus and Kazakhstan and how tax filings and accounting will become much easier with EDI (Electronic Document Interchange). In this issue, we focus on a true revolution that is going on in Russia. No, we are not talking about politics, but about corporate law and more precisely, about the General Director function. Just as one country has one strong president, one company should have one strong General Director. This was more or less accepted as the standard, but now this suddenly changes; one can register more than one General Director within the same firm.
The articles in this issue of RUSSIA BRIEFING focus not only on the legal changes, but more on the consequences for management and new options on how one can structure the signature rights using a second set of eyes, or even more. Also, intercultural aspects are considered as mentally it might be difficult not only for the current sole leader to accept a second, strong manager next to him or her, but also the entire company staff may not be familiar with how to deal with several bosses at the same time.
Difficult times are usually good for internal restructuring and perhaps the following articles will help you to make good use of this challenging period.
Yours sincerely, Ulf Schnelder Managing Partner
RUSSIA CONSULTING Group
www.china-briefing.com
Helge Masannek
Tax and Legal Director
Alexander Koepcke
This publication has only informational purposes and does not constitute any legal advice.
Structuring the
General Director Position
during Crisis Time
Contents
“
An outsourcing
scheme for the
General Director
function can help
keep the Russian
business under
control, stay
flexible and keep
administrative
costs at a moderate
level.
”
The General
Director Function
as a Service
Case Study:
Structuring your
Management
Company in Russia
Limiting the Power
of the General
Director in Russia:
New Options
Outsourcing the
General Director
– A Solution in
Crisis Times
A (mental) Revolution
in the Russian
Civil Code?
p.4
p.6
p.7
p.8
p.9
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What or who is a sole executive body of a company in Russia?
Every ship needs a captain and every airplane, a pilot. In terms of a commercial organization, this is the General Director. Without a General Director, the operations of a Russian company are impossible. The General Director should be appointed at the time of the company’s incorporation.
The General Director as the sole executive body is in charge of the overall management of a company within the powers granted by laws and by the company charter. The General Director is responsible for the business results of the legal entity and for the safety of its employees and property.
An interesting fact is that the sole executive body of a legal entity in Russia may be either an individual person or an organization. The possibility of transferring powers to a commercial organization is stated in the laws regulating limited liability and joint stock companies.
Responsibilities of the General Director
Generally speaking, the responsibilities of the General Director are to oversee the organization, coordination and control of the enterprise’s activities. This includes the effective interaction between structural subdivisions, strategic planning, implementation of these plans and control of their execution. The duties of the General Director may vary depending on the scope of the organization and the scale of its business.
Authority of the General Director
The General Director, as an individual person or a Management company, may perform the following actions:
• Act on behalf of the company without a power of attorney • Represent the interests of the company and conclude contracts • Issue powers of attorney for representing the company (including
powers of attorney with the right of subsequent transfer of powers)
• Issue orders for the hiring of employees, their promotion and discharge
• Implement incentive plans and impose disciplinary measures • Exercise other powers which are allowed by legislation and the
company charter but are outside the scope of the general meeting of participants or the board of directors
Founders should pay particular attention to the scope of what their General Director is authorized to do and implement procedures to monitor and control transactions authorized by the General Director.
When outsourcing the General Director function to a commercial organization such as RUSSIA CONSULTING, the company’s founders can be confident that the General Director is acting in compliance with legal requirements and performs within the specific framework given by the client. RUSSIA CONSULTING provides a second set of eyes. Thus, for every banking transaction that is executed on behalf of the client, in addition to the prior approval of payments by an authorized representative of the client, an internal check is always conducted.
Appointment of the General Director
The sole executive body of a limited liability company is appointed by the “decision of the meeting of participants” for a specific term. The employment contract of the General Director is signed on behalf of the company by the chairman of the general meeting of the company’s participants.
Obtaining a work permit for a foreign citizen may be time consuming. Therefore, it will not be possible to register a foreign citizen as a General Director at the time of registration. For an interim period, the General Director function could be outsourced to a service organization.
Reasons for outsourcing the General Director function in Russia
In Russia, the General Director function may be outsourced to consulting companies and legal firms who offer this service. It is very important that the organization has an excellent business reputation and provides highly qualified staff to execute the General Director function.
Why would owners of a business want to outsource the General Director function?
• In the start-up phase of a company, organizational issues must be resolved even though the right candidate for the General Director position has yet to be found. Also, for foreigners, work permits have to be obtained. Through outsourcing, the executive body can be assigned immediately.
• Founders will have confidence in the high professional standards of their General Director. The daily work does not have to be monitored. • By entering into a partnership with RUSSIA CONSULTING, the founders can be sure that their General Director will fully comply with legal requirements and will act according to the defined rules and policies. Actions undertaken by the General Director are always pre-approved by the client. Thus, business owners will maintain full control over their legal obligations and spending.
The General Director
Function as a Service
The General Director Function as a Service
• The General Director represents the company in all official bodies, such as the tax inspectorate, banks, customs and other authorities. • Clients will be able to communicate with their counterparts in their
native language, such as English, German or Spanish.
• In the case of a management company, such as RUSSIA CONSULTING, legal obligations are taken over by the service provider. The client has a trustworthy partner with a solid reputation and significant capital assets.
Interesting fact
In Russia, the Day of the General Director is celebrated on 28 September.
Mr. Daniel Van der Spiegel Chief Executive Officer EVV (Evidenzhaltung von
Vertragsinhalten) GmbH
“
EVV GmbH is a leading international company with a solid, 24 years of experience
throughout Europe in the sensitive industry of Recovery Auditing. EVV is based in
Vienna, Austria with a presence in Germany, Switzerland and branches/subsidiaries
in most central and eastern European countries.
When establishing a Branch in Moscow in 2010, EVV decided to outsource the Branch
Director function to RUSSIA CONSULTING.
Since our local employees in Moscow work more or less independently and report
directly to our offices in Europe, we did not need a full-time Branch Director.
RUSSIA CONSULTING offered to take over this function including signing official reports
to the authorities, liaising with the bank, etc.
Based on an agreement between our companies, a responsible person from
RUSSIA CONSULTING is acting strictly on approval from identified representatives of
EVV. We are in constant contact with this person and therefore we are tracking all
current administrative issues with regard to our Branch.
This outsourcing scheme helped us to keep our Russian business under control, stay
flexible and keep administrative costs at a moderate level.
Russian companies are usually recognized as being hierarchically organized. On the top, you have the General Director who maintains control and makes all decisions. A system of dual control is not very common, especially in smaller entities. In a larger corporation, a board of directors or a supervisory board is often implemented. Furthermore, documents that need to be signed by the General Director or the Chairman of the Board should pass through several departments before actually being executed. But even with such bodies or procedures, a legally valid limitation of the powers of the General Director with effect to third parties was, until recently, hardly possible. The General Director represents the company and his signature is valid in all cases.
The only possibility to limit the powers of a General Director was, until recently, through limitations stipulated in the company´s charter or through those limitations already mentioned in the Law on Limited Liability Companies. Thus, if a General Director signs a contract on a large transaction (such as one with a value of 25 percent or more of the assets of the company), a transaction with beneficial interest or any other transaction that requires the approval of a shareholder´s meeting according to the charter, such transactions might be contested by the shareholders. With regard to bank signature cards, the requirement of a second signature could be introduced so that a payment is only processed if the General Director, together with the second signatory, signs the payment order. Until recently, only an accountant could act as a second signatory. But with amendments made by the Central Bank earlier this year, this has changed. The so called “first” and “second” signers were eliminated and most banks introduced so called “Category A”, “Category B” and “Category E” signers. Usually signatories with a Category E signature can sign a payment order alone, while payment orders that are signed by a signatory from Category A require an additional signature by someone from Category B. The requirement that only an accountant can have the second signature has been eliminated. So now it is possible to prepare a signature card with a Category A signature for the General Director and a Category B signature for the Financial Director, so that both must sign payment orders. Furthermore, some banks have also introduced the ability to limit the transaction amount for payment operations to certain signatories.
Apart from the rights on the bank signature card, most banks also offer a so called “electronic third signature”. This means that apart from those people indicated on the bank signature card, a third authorization is required to execute an electronically submitted payment order. Usually such a third authorization is granted to the financial controller of the parent company so that the parent
company also has some control over the payments performed by the General Director and his or her staff.
The new regulation on bank signature cards is in line with recent amendments to the Russian Civil Code regarding the powers of a General Director. As of September 1, 2014, the Russian Civil Code stipulated that several persons can, either independently or jointly, represent a Russian company. These amendments are quite refreshing as they open the way for nominating more than one General Director. They also enable the shareholders to stipulate that two General Directors shall act jointly. The consequence is that the strong hierarchy of Russian companies with one General Director on top is not a must any longer. Western management structures with several directors managing a company and the provision that two directors shall always act jointly – maybe with the exception of the director that is at the same time the majority shareholder – will now be possible also in Russia.
Unfortunately, these amendments to the Russian Civil Code came into effect only on September 1, 2014. However, the amendments to the Law on Limited Liability Companies and the Law on Joint Stock Companies have not yet been adopted. It is expected that these amendments will be introduced into parliament and will be passed by the end of this year so that the new rules on managing companies by more than one director can be implemented next year.
Limitation of the powers of a General Director in
other countries
Belarus, Ukraine and Kazakhstan
The regulations for management bodies of a Belarus, Ukrainian or Kazakh company are quite similar to the former Russian regulations. Thus, it is not possible to appoint more than one General Director. It is possible to limit the powers of a General Director by establishing a collective executive body or by limiting the power in the labor contract. But only limitations provided by the charter, like the requirement of a shareholders´ decision for certain transactions, are effective to third parties.
Poland
The regulations for the management bodies of a Polish company are in line with western management structures. Thus it is possible to appoint more than one director of a Polish Sp.z.o.o. It is also possible to appoint a “prokurent”, a legal representative of the company with – compared to directors – slightly reduced authorities. If the charter does not provide otherwise, and if more than one director is appointed, the general rule for representing the company is that one director shall represent the company together with another director or a “prokurent”.
Limiting the Power of the General
Director in Russia: New Options
Case Study:
Structuring your Management
Company in Russia
- By Helge Masannek, Director Tax & Legal, RUSSIA CONSULTING
Usually, foreign investors incorporate only one Russian subsidiary for their Russian business. In such cases, you usually have a straight-line management structure using a General Director who manages the business in Russia and a shareholder meeting that makes high level management decisions. But for the time being, some foreign investors create or even purchase additional companies for specific purposes or for business in different regions, so that an entire group of companies is formed in Russia.
In such situations, investors quite often think about nominating and sending someone from the company’s headquarters to Russia as a “shareholders´ representative” for the Russian business, and sometimes also send specialists for sales or technical operations. Such personnel are responsible for not only one entity in Russia, but work for several entities.
And here the problem begins: One option is to employ such personnel at every entity. This has the advantage that the salary costs will be equally divided among all entities in Russia. But if the personnel are Western European citizens, they will need a separate work permit for each company. In such cases, the “highly qualified specialist” work permits are often not an option since these require a minimum salary of 2 million RUB in each company. The application of such work permits often adds such an administrative burden that questions arise as to whether other options are available.
We found the following solution for one of our clients:
The client has three legal entities in Russia (A, B and C). One of these entities, entity C, is dormant and was initially intended as a holding company for the Russian business. RUSSIA CONSULTING recommended the client to use this dormant company as their management company for the other entities. The management board of entity C would consist of the following members: • General Director 1: Shareholders´ representative for the Russian
business
• General Director 2: Former General Director of entity A • General Director 3: Former General Director of entity B
• Technical Director (responsible for technical issues in entity A and B)
The entities A and B will be represented as follows:
• Entity A: General Director 1 together with General Director 2 • Entity B: General Director 1 together with General Director 3 • In case of technical issues, the signature of the Technical Director
will be required
This solution has the following advantages: • A system of dual control is introduced
• The salary costs for the management team will be charged via management service agreements to entities A and B
• Foreign staff in the management company needs only one “highly qualified specialist” work permit each for the management company, even if they make decisions regarding work for either entities A or B.
This solution will be implemented as soon as the proposed amendments to the “Law on Limited Liability Companies” enter into force and the forms required for registration purposes are published. We expect this to occur in January 2015.
A (mental) Revolution in
the Russian Civil Code?
As a result of the September 2014 amendments to the Russian Civil Code, the number of General Directors is no longer limited to one. This short mental excursion is not meant to comment on the Russian interactions and changes, but to show what international companies with activities in Russia should focus their attention on. Companies with head offices in Western Europe have long tried to implement an obvious approach of multiple control and hedging decisions; this has also been tried in Moscow, St. Petersburg and the Russian regions, but so far, these methods have been met with little success. The goal of this approach has been to integrate the Russian General Director into the international corporate structure and, at the same time, limit his authority to some extent. Mostly, it was envisioned that a representative of the parent company would regularly come to Russia in order to discuss with the General Director the relevant steps, provide input from the parent company, and put forth the expectation that the General Director will implement their strategy and decisions. Local input from the Russian General Director was desired to a certain extent, however, whether it was always given and understood, may be doubted.
Three thoughts should be presented in order to vividly make clear the long mental way for the new law in business life:
• A quotation from Fyodor Tjutschev, a Russian philosopher, “With the mind alone, Russia cannot be understood, not a simple ruler appraises its size. It stands alone, unprecedented, that in Russia you just have to believe.” Even though it was stated more than 100 years ago, its meaning, in this context, stands for the uniqueness of the Russian way which is freely formulated for the Russian ideology, even in entrepreneurial activities.
• An expression of unknown origin which all expatriates can understand well: “Russia is a country where the probable seldom and the improbable almost always occur”. Russians describe this as “our life is interesting” and express this with a sense of pride to master even sudden turns.
• And finally, the Russian version of the internationally known proverb “В чужой монастырь со своим уставом не ходят” or more commonly, “When in Rome do as the Romans do”. This is more of a challenge to foreigners operating in Russia because the hidden question is to what extent their own Western success factors fully apply in Russia, or whether they should be questioned and replaced by local ones.
So what can be expected of this “revolution” in the Russian company law? First of all, the legal part of the reform is one side of the coin, and the other side is the mental aspect. For the first side, formalities are still lacking, for example, in implementing rules. For the latter, a Russian General Director sees himself as a traditional, sovereign autocrat in the company, like a captain on a ship. To what extent is this position compatible with standard, international matrix structures of corporate governance? Western experience shows that a division of labor needs to be reflected in the corporate structure. Regardless of the person in charge, things such as corporate control, decision making and audit integrity in a company can only be possible by a separation of powers. According to the Russian experience, forces and decisions should be bundled into a strong central power from which the requirements for their implementation are expected and which needs to be acted to accordingly. This is how a Russian General Director proceeds.
What additional factors should be considered? First, in the historical tradition, there have always been internal, subtle power games in Russia that are not transparent to outsiders. As a comparison, when the “Soviet Direktorov”, the board of directors, is mentioned in the Russian corporate law, it combines both company management and control in one, and is therefore not compatible with the Western understanding of leadership.
Nevertheless, the power of the General Director in this board of directors was not always without controversy per se, surprise effects were inevitable here. Now, there is a second generation of Russian managers. These are young, well-educated men and women with international experience and excellent English language skills. How will they develop these skills and how will they implement this new understanding of action under the traditional conditions of their homeland?
Last but not least, a strong interdependence between the economy and politics is a characteristic of Russia which has significantly affected the entire social and economic transformation process since 1991, and even currently has a pronounced influence on entrepreneurial processes.
Dr. Hannelore Schmidt
A (mental) Revolution in the Russian Civil Code?
Let’s see how the situation is in the context of some selected workplace values:
Value
Germany
Russia
Religious
affiliation
Protestant OrthodoxInitiative
Appreciated, positiveLess common (инициатива наказуемая)
Personal
responsibility
Strongly developed Hardly developedDivision of
work
Strictly adhered DiffusedPower
Needs to be legitimized Is simply executedHierarchies
Flat hierarchies arepossible and accepted
Vertical hierarchies, project management is difficult
Priorities
Depending on tasks and processes Depending on person and situationControl and
feedback
Punctual, too much control means mistrust
Permanent, too little control means disinterest
Course of
action
Balanced MaximalisticStyle of
leadership
Ideally cooperativeIdeally patriarchic and/ or Authoritarian
Of course this short, uncommented comparison is not without problems. Nevertheless, it illustrates the Russian mentality and shows where the stumbling blocks on the road to enforcing the changes in company law are. If it initiates a discussion about the new position of the Russian General Director, the purpose is achieved.
What can the non-Russian partner of a Russian General Director do?
• Practice open and internal communication, illustrate decisions from the parent.
• Give tactful, helpful feedback to the Russian colleagues and criticize only in private.
• Remember that Russian colleagues, also in leadership positions, avoid unpleasant information.
What can the Russian General Director do when he has a non-Russian partner?
• Be a loyal and committed partner to the non-Russian colleagues. • Recognize that the non-Russian colleagues want to get the business up and running together with their Russian colleagues. • Speak openly to the non-Russian colleagues; they will appreciate it.
Outsourcing the General Director
– A Solution in Crisis Times
- By Alexander Koepcke, Director, RUSSIA CONSULTING
The economic environment of 2014 is very challenging. Many countries are experiencing difficulties resulting from the echoes of the 2008 crisis and a new wave of political instability. Mutual sanctions between the European Union, the United States of America and Russia have added pessimism to the economic forecasts. According to the “Association of European Businesses in the Russian Federation”, in the first eight months of 2014, sales of new cars and light commercial vehicles declined by 12.1 percent. Consumer confidence is at a low and the Russian Ruble has significantly weakened. Companies must adapt to such an environment, review their business strategy and seek ways of cost reduction.
Changes in management:
Strengthening internal control systems
The General Director is a person who is supposed to have a bird’s eye view of the company’s processes, to be a point of control with personal responsibility. A General Director provided by RUSSIA CONSULTING works closely with their experienced Internal Controls Team, which performs Internal Audits for the assessment of existing procedures, and makes proposals for implementing changes.
Outsourcing the General Director – A Solution in Crisis Times
How can the internal control system be improved? RUSSIA CONSULTING suggests the following steps:
• Assessment of current procedures.
• Analysis of the current company’s business processes: running workshops with the client’s representatives on identifying the main business risks, developing an appropriate risk management strategy and identifying risks for further consideration. A review of the parent company’s (corporate) control procedures for further adaptation could also be considered.
• Development of Internal Control Regulations (in Russian or bilingual) with references to specific control activities, such as (but not limited to):
» Purchase Contracts Authorization Policy » Cash Management Procedures
» Employees Expenses Reimbursement Policy and Travel Policy » Control Procedures over Accounting and Reporting Compilation » Documents and Information Flow Schedule
• Consulting on amendment/development of existing job descriptions, key performance indicators (KPI) and compensation and benefits regulations.
• Regular monitoring of internal control activities, performance of Financial Controller function and assistance to a corporate internal audit team.
Outsourcing the administration function: General benefits and countable savings
During a stagnant period, part-time employees might be a reasonable option for optimizing staff expenses. It is interesting to note that even the General Director can be outsourced. Apart from the financial benefits, outsourcing of the General Director function enables the owners to effect 100 percent control of their business, including all contracts and payments execution.
R U S S I A CO N S U LT I N G a s a M a n a g e m e n t Co m p a ny, o r a RUSSIA CONSULTING employee acting as the sole executive body, represents clients’ companies in all official bodies (e.g. tax inspectorates, banks, customs office). We do a preliminary check of contracts, and in case of any concerns of potential law violations and risks to the client, we will inform the headquarters management immediately.
It sounds surprising, but during the crisis some companies have decided to start their business in Russia, and whilst others leave a market niche, some may take advantage of this situation. Thus today, many foreign companies that decide to open a subsidiary in Russia demand the service of an outsourced General Director.
Also vice versa, if the owners plan the liquidation of their subsidiary, which can take up to two years, outsourcing of the General Director function for this period can make sense.
Cost cutting: when and how
If it is obvious that if the company’s activity is slowing down, in many cases cost cutting has to be implemented. The reduction of operational expenses can be achieved in many ways. One way is staff redundancy or outsourcing some of the part-time employees. The Russian Labor Code has strict procedures for staff redundancy. This is a complicated and time consuming process. Briefly, the company has to make the following steps:
• Duly inform the staff about its intention to start staff redundancy procedures two months prior to the start of dismissal and issue an internal order.
• After the staff is informed, the unemployment office has to be officially notified.
• Before staff dismissal starts, each and every person has to be offered an alternative position in the company.
• The company has to establish a new staff list.
• At the end of two months the company dismisses staff and pays a one-month average salary compensation.
• In some cases, former employees can revert back to the company with the request of payment of up to three salaries more (for example, if a person registered at the placement service and has not found a new job within a reasonable period of time.)
Entity in Russia: possible scenarios in crisis times
Foreign business owners who have started an entity in Russia pursue different approaches. Some are thinking about how their entity can survive. In particular, this concerns entities which are suffering from the sanctions war. The slowdown of business activities, as well as the need to protect investments, to stop losses, and to keep market share might make business owners chose to postpone projects for awhile and then start again, or possibly, to liquidate the Russian entity and leave the market.
During a period of such fundamental change, business owners might need the advice from consulting and outsourcing companies which know local procedures for each life cycle of an organization. RUSSIA CONSULTING has long-term experience in administrating companies in a dormant regime and in liquidating entities. Liquidation is a complicated process, and consulting services can support the implementation. RUSSIA CONSULTING offers specific services, such as the archiving of documents, accounting procedures and even providing a “liquidator”, a specially designated person who oversees the liquidation. The company does not need to rent office space and to keep employees during liquidation.
In conclusion, there is no simple solution of how to deal with external and internal issues during crisis times. The best that can be done to pass through this challenging period, is a timely response to changes. A complex assessment of the situation in the company and creative solutions in each particular case can seriously increase the chances of positive outcomes with minimal losses. can support your company in these matters.
1. What changed in the Russian Civil code?
From September 1, 2014, the Russian Civil code allows enterprises to have more than one General Director. Moreover, there can be even three or more of them (the upper bound is not established). It also allows to transfer the General Director functions to a management company. This innovation seems insignificant; however, it significantly changes management schemes in the Russian subsidiaries of western companies.
Although this came into force on September 1, at first it is essential to introduce some changes into the law “On limited liability companies (LLC)” which can take some time.
2. What do the new rules mean for my business?
First of all, these changes will allow foreign investors to feel more confident. From now, on not all will depend upon the signature of only the General Director who can make mistakes or even act with malicious intent. It is possible to stipulate in the company’s charter whether the confirmation of only one of many directors or two simultaneously is enough to make any commercial activity or even all the directors at the same time (the well-known German “four eyes” principle). So, it is possible to specify that each General Director has the right to sign contracts with a certain limit individually (for example, up to 10,000 Euros), and for higher amounts the signature of the second director is required.
3. What does this mean for the staff?
The mentioned management scheme has a lot of advantages. It is necessary to consider that the staff of the Russian enterprises have to get accustomed to a considerably new situation with two or more managers having equal rights. For the former General Director, it is also difficult because now he cannot manage all of the company individually. The director will have to coordinate his/her decisions not only with the head office, but also with the colleagues at the working place. Another serious problem which can occur is that the first General Director can consider the appointment of a second GD as a sign of mistrust. The employees can have the same impression which may negatively affect the atmosphere in the company.
4. For whom is the outsourcing especially attractive?
It is especially convenient for small subsidiaries of western companies which are engaged only in sales of goods or rendering technical services, while all main decisions are taken by the head office, to consider outsourcing. In this case, there is no need to employ a General Director with a high salary. Usage of management company services in the Russian market is an excellent option.
5. Will I still have control over my business with an outsourced General
Director?
The involvement of an independent management company means high-quality improvement of control over the business in Russia. The employees of RUSSIA CONSULTING can objectively inform the parent company about all current events concerning the subsidiary. They will fully comply with the legal requirements and act according to the defined rules and policies of the client. Another benefit is the possibility to communicate with the parent company in English, German or Spanish.
