The aim of this thesis is to closely clarify the emergence and functioning of a joint stock company participating in sports competitions. Since a sports limited company is a recent institute in Croatian legislation, there are not many literary pieces dealing with these topics. Throughout this thesis, as a reference to the legislative framework of the creation and functioning of a sports limited company, the Law on Sports and the Corporations Act have been the most widely used literature, with some scientific articles dealing with these topics. In the second part of the thesis concerningthe examples of the sportslimited company practices, the literature consisted of certain regulations, ethical codes and other acts of that sports limited company. Through this thesis comes the conclusion that a sports club formed as a sports limitedcompany must fulfill numerous obligations to participate in sports competitions in such form. But there are also many benefits in structuring a sports limited company in view of the increasing amount of capital and in view of money becoming the essence of today's modern sport. Moreover, sport limited companies will for the very reason become the most common form of sport club organization in the future.