How do I create a business?

The business must be given a name. This name is also called a corporate name or even a corporate name.

It identifies the business as a legal person.

It often refers to the activity carried out.

The property on the name of your business is acquired at the time you register it.

The registered office corresponds to the address of the business.

This is the address to which all documents relating to the business' activity are sent.

This is the place of his effective leadership.

It may be different from the place of exploitation or production.

It must be proved that the premises of the head office are regularly occupied for the activity of the business (by any means: copy of the commercial lease, EDF receipt or recent telephone bill).

The location of the registered office is laid down in the statutes at the time of its establishment and may be moved during the life of the business.

Without domiciliation of company, registration on the website of the company formalities office is not possible.

The address must appear on the commercial documents (quotes, invoices in particular).

Any change of address, considered as a transfer of registered office, must be declared at the companies' formalities desk.

Company Formalities Window

When a business is created, it is important to appoint one or more officers so that they represent the business.

This appointment may be made at the time the statutes are drawn up or in a separate document made before the statutes are drawn up.

The officer will have a different name and different powers depending on the type of business that is being created.

If the business exercises regulated activity (e.g. restaurant, real estate agency, hairdresser), it is subject to certain prior formalities.

For example, it is an application for authorization from the City Hall of the city where the establishment is located or an application for authorization.

Once the head office of the business is determined, it is important to communicate this address to the post office closest to her so she can get her mail.

The share capital of the business shall be composed cash contributions by the shareholders or members of the business.

The value of property owned by the business, such as goodwill, buildings, trademarks, are also taken into account.

There are 3 types of intake:

• Cash (i.e. money)
• Contributions in kind (buildings, machinery...)
• Industrial contributions (know-how, experience, relationships that a person puts at the service of business)

Only contributions in cash and in kind constitute the share capital of the business.

When in-kind contributions are made, the creation of the business requires the involvement of a commissioner of contributions, whose role is to assess the assets contributed to the capital of the business.

The deposit of share capital must be done when building a business.

This deposit is generally carried out on a open business bank account for the activity of the business.

One of the essential steps when creating your company is the drawing up of the statutes.

These are all the social, fiscal and legal rules of your business.

This step takes place between the determination of the amount of the share capital and the deposit of the share capital.

It is when the statutes are signed that the business is formed.

Any business that is registered in SCR: titleContent, with the exception of listed businesses, must make a beneficial ownership declaration DBE: titleContent.

The DBE is used to identify the natural person who controls the business.

One beneficial owner is a person who has more than 25% capital, or more than 25% the voting rights of the business.

It must be sent via the companies' formalities window:

Company Formalities Window

Before registration, you have to publish a notice of constitution business (or creation notice).

This publication must be made in a legal listing support (SHAL or JAL)

The cost of publishing depends on the type of business that is being created.

You have to ask for a certificate of publication, issued by the SHAL, then forward it to the company formalities office at the time of registration.

You have to declare your business. This declaration of existence is also called registration.

Once you have registered, you will obtain the following identification:

• 2 unique identification numbers:
  
  • The Siren identify your business. You will use in all your relationships (with administrations, clients, etc.).
  • The Siret identify the establishment where the activity is carried out.
• One EPA activity code (main activity carried out)

Once the registration of the business with a TFC is done, it is important to provide a number of accounting, employee or security records.

These registers are mostly mandatory and depend on the type of business that has been set up.

Depending on the register, it may be in paper form or in electronic form.

Depending on the activity pursued by the business, it may be subject to an obligation to to take out certain insurance.

This is also the case if it hires employees or if it owns vehicles.

Even if the business is not subject to the obligation to insure, taking out insurance is strongly advised and can be useful in the future. For example, insure business property against water damage, fires.