company creation

Steps in setting up a company

Start

Setting up a company is a process that requires compliance with certain formalities vis-à-vis the administration. The extent of these formalities may differ depending on the legal form you choose: Commercial Company, Sole Proprietorship, Sole Proprietorship etc. This is the case for the drafting of the articles of association, which is specific to the creation of the company.

Below we will guide you through the various steps involved in setting up a company, in particular the choice of legal form, the drafting of the articles of association and the final formalities that follow.

The choice of social form

The creation of a company is a project that requires reflection on certain points before moving on to the administrative formalities. You must first draw up a business plan that includes a summary of your creation project, a study of the market and the competition, the marketing strategy you wish to adopt to develop your activity and finally, the provisional budget. The next step following this reflection is the choice of the legal form of your company. To begin with, you have to choose between the sole proprietorship form and the corporate form.

The sole proprietorship

By opting for the sole proprietorship form, you carry out your activity on your own behalf. You are not dissociated from your business and this includes the fact that in the event of losses, you will be liable for its debts on your personal assets. However, the law does contain provisions to protect the principal residence of the head of the business as well as other real estate that is not intended for professional use. The sole proprietorship is particularly attractive because it is easy to set up and fairly simple to operate. For example, the entrepreneur is not accountable to any of the partners for his or her decisions, nor is he or she subject to overly formal accounting requirements. This legal form is to be adopted if you create your company alone and especially if it constitutes a complementary activity to your work.

Why not enjoy unlimited reading of UP'? Subscribe from €1.90 per week.

The corporate form

By choosing this form, you are opting for the creation of a legal entity distinct from the creator of the company. As a result, your assets and those of your partners will be dissociated from those of the company. If you therefore incur losses, you won't have to worry about your property. . As far as the creation of the company is concerned, this requires a formality that differentiates it from that of a sole proprietorship. Indeed, you are obliged to draw up your articles of association before being able to proceed with the publication of the legal notice. In this regard, note that you can calculate the price of a legal ad on JuriPresse.fr . The corporate form is to be adopted if you incorporate the company with other persons or if you consider this option during the development of your business.

The formalities relating to the drafting of the articles of association

When you create a company, you must write up the articles of association before you can register the company.

The drafting of the statutes

The drafting of the articles of association is necessary to precisely define the functioning of your company and the relationship between the partners. The law provides for mandatory information to be included in this document, namely: the company's name, its duration, its registered office, its corporate purpose, the partners' contributions, its operation, and its share capital. This deed must be drawn up in writing either in the presence of a notary or under private signature.

  • The importance of drafting statutes

Particular attention must be paid to the drafting of each clause of your company's articles of association. Among other things, you should check that the name you choose has not already been filed to avoid changing it later. The company's object must be precise yet broad to ensure that it effectively ensures the proper functioning of the company.

Be aware that any modification is only possible by a unanimous decision of the associates during an extraordinary general meeting. Thus, in order to spare you all the formalism inherent to the modification, we recommend that you get professional assistance (a lawyer, a jurist...) during this process.

  • Finalization of the draft statutes

The final signature of the Articles of Association can only be made after the company's share capital has been constituted. To do so, you will then have to open a company bank account. In order to convince your banker, you will need to have your draft articles of association and business plan with you. A certificate will be issued when the account is opened.

The formalities following the drafting of the articles of association

The articles of association that have been drawn up do not yet formalise the creation of your company. You must finalize your steps.

  • The publication of the legal notice

The creation of your company must be made official by the publication of an announcement of incorporation with a newspaper of legal notices. To complete this formality, you must approach the competent newspaper in the department where your registered office is located. You can also opt for online publication via a specialised website. which offers ad templates to be filled in with your information. In all cases, you will need to receive a certificate of publication that you will then include in your company creation file. Note that this certificate allows you to validate your incorporation formalities, even if the announcement does not yet appear in the newspaper.

  • Filling in the CERFA form

The CERFA form is a document that certifies the existence of the company to the administration. If you have opted for the sole proprietorship, you must complete form P0, while for the company, it is form M0.

To fight against disinformation and to favour analyses that decipher the news, join the circle of UP' subscribers.

The submission of the creation file

Finally, you will have to submit your creation file to the Centre for Business Formalities . So that it is not rejected by this one-stop shop, make sure you gather all the documents in your file, namely: the M0 form, the company's certificate of domiciliation, the articles of association drawn up in 2 copies, a copy of the legal notice, the certificate of honour of non-conviction of the manager, his identity document and his appointment deed.

0 Comments
Inline Feedbacks
View all comments
billing
Previous article

Opting for billing software or not?

wage portage
Next article

The international wage portage

Latest Tips Articles

JOIN

THE CIRCLE OF THOSE WHO WANT TO UNDERSTAND OUR TIME OF TRANSITION, LOOK AT THE WORLD WITH OPEN EYES AND ACT.
logo-UP-menu150

Already registered? I'm connecting

In order to contribute to the information effort on the current coronavirus crisis, UP' proposes to its readers a free entry to the latest published articles related to this theme.

→ Register for free to continue reading.

JOIN

THE CIRCLE OF THOSE WHO WANT TO UNDERSTAND OUR TIME OF TRANSITION, LOOK AT THE WORLD WITH OPEN EYES AND ACT

You have received 3 free articles to discover UP'.

Enjoy unlimited access to our content!

From $1.99 per week only.
0 Shares
Share
Tweet
Share
WhatsApp
Email
Print