Capital Adjustment Services Lithuania - AM Law Firm

Capital Adjustment Services Lithuania

Capital Adjustment Services Lithuania

The Strategic Value of Capital Adjustment in Modern Business

Capital adjustment is not just an accounting formality — it’s a core component of financial strategy. As your company evolves, your capital structure must reflect your growth stage, risk profile, investor relationships, and governance needs. Capital that’s too high can discourage efficiency; capital that’s too low can limit expansion or raise regulatory red flags.

AM Law’s capital adjustment service ensures your company is positioned for:

Full compliance with Lithuanian corporate regulations

Sustainable scalability

Increased shareholder trust

Enhanced financial credibility

Better investment-readiness

Capital Adjustment vs. Full Reorganization

Some businesses mistakenly believe they need a full company reorganization when they simply need a capital adjustment. At AM Law, we help you understand the difference:

  • Capital Adjustment: Changes to the existing capital (value, type, distribution) without altering the legal entity itself.
  • Reorganization: Includes mergers, demergers, or legal transformation of the business entity.

Our lawyers analyze your goals and advise the most efficient route — saving time, legal fees, and administrative costs.

Capital Adjustment as Part of Investment Rounds

For companies seeking investment — from angel funding to venture capital — capital adjustment plays a crucial preparatory role. Investors often require:

  • New share classes (e.g., preferred shares)
  • Reserved equity pools for future rounds or stock options
  • Debt-to-equity conversion of early-stage funding
  • Clean and compliant share registers

We work with founders and investors to structure your capital to meet term sheet conditions, anti-dilution clauses, and founder control provisions — all legally enforceable under Lithuanian law.

Adjusting Share Capital After Business Growth or Downturn

Your capital structure should evolve with your business. That’s why AM Law provides:

  • Upward adjustment services after large revenue jumps or international expansion
  • Downward adjustment services to align with lower operating scale or financial losses

A mismatch between capital and performance can create legal or tax complications. We help realign your company’s capital so it accurately reflects its market position and satisfies financial regulators.

Multilingual Legal Execution for International Stakeholders

Capital adjustments in Lithuania must be registered in Lithuanian, but often involve foreign stakeholders who speak English, Russian, Polish, or German. AM Law ensures smooth communication by:

  • Preparing bilingual resolutions and documents
  • Coordinating translations with certified notaries
  • Facilitating communication between foreign investors and Lithuanian authorities
  • Handling currency conversions and compliance in EUR

We serve as the legal bridge between your international shareholders and local compliance processes.

Capital Adjustment for Group Structures and Holding Companies

Group-level capital adjustments are especially complex. These may include:

  • Cross-subsidizing subsidiaries with capital injections
  • Reducing equity in non-performing branches
  • Allocating capital to new ventures
  • Aligning shareholder agreements across group entities

We work closely with your CFOs, group legal departments, and foreign legal advisors to coordinate multi-entity restructuring, and ensure group alignment across jurisdictions.

Preparing for Audits, Due Diligence, or Exit? Adjust Your Capital First

If your company is planning a:

  • Sale
  • Private equity investment
  • IPO listing
  • Internal audit or tax inspection

…you may be advised to adjust your capital first. Why?

Because:

  • Capital discrepancies will show up in due diligence
  • Misaligned capital can delay or derail investment
  • Accurate share registers are required by auditors
  • Capital clarity improves your company’s valuation

AM Law conducts a pre-audit capital review, correcting past errors and aligning your structure with investor or buyer expectations.

How Banks and Financial Institutions View Share Capital

A strong and transparent capital structure:

  • Improves your credit profile
  • Increases the likelihood of loan approval
  • Enhances compliance with financial covenants
  • Demonstrates solvency and commitment

We assist clients in adjusting their capital to meet banking requirements, from minimum capital thresholds to equity/debt ratio optimizations.

How AM Law Minimizes Legal Risk During Capital Adjustments

Legal risks during capital changes can be significant. These include:

  • Invalid shareholder decisions
  • Improper share valuation
  • Unnotified creditor rights
  • Lack of registry compliance
  • Tax authority investigations
  • Future disputes over ownership percentages

Our lawyers perform a 360-degree compliance check:

  • Review of existing shareholder agreements
  • Verification of past capital changes
  • Legal analysis of Articles of Association
  • Step-by-step registration audit
  • Monitoring of post-adjustment responsibilities

We don’t just process paperwork — we protect your business.

Need Emergency Capital Adjustment?

Sometimes businesses require urgent adjustments, such as:

  • Emergency investor onboarding
  • Court-mandated capital changes
  • Capital correction before company registration
  • Compliance with sudden regulatory requirements

We offer fast-track services for urgent needs, often completing legal preparation within 48 hours, and coordinating express registry filings when possible.

Ready to Optimize Your Share Capital?

Whether you need to increase capital, reduce it, or reorganize it completely — AM Law is ready to guide you with unmatched expertise and full legal clarity.

Citizenship of Lithuania

Citizenship

  • Acquisition of citizenship of the Republic of Lithuania by virtue of birth.
  • Restoration of citizenship of the Republic of Lithuania.
  • Oath of Allegiance to the Republic of Lithuania.
  • Naturalisation.
  • By way of exception.
  • Simplified procedure.

Right to reinstate citizenship of the Republic of Lithuania to persons who had citizenship of the Republic of Lithuania and until 15 June 1940 and their descendants who have not acquired citizenship of the Republic of Lithuania before 2011-04-01.

We could help you to get citizenship in Lithaunia.

For jobseekers:

We are searching employees from Europe who would want to work in Lithaunian companies.

For employers:

We are dealing with recruitment companies all over the world and can suggest a variety of employees.