Choosing the right legal structure is crucial when launching a business. The SASU (single-person simplified joint-stock company) stands out as a popular choice among entrepreneurs for its flexibility and simplicity.
Ready to go independent with your own venture? Your company's legal form sets the foundation for success. The SASU's appeal lies in its adaptable operations, making it a favorite for solo founders. Let's break down what a SASU entails, its core features, and the pros and cons.
The SASU consists of a single shareholder, who can be an individual or another company. Adding more shareholders converts it into a standard SAS (simplified joint-stock company). The sole shareholder can serve as president or appoint a non-shareholder to the role of general manager.
Share capital starts at just 1 euro, opening doors for countless projects. This capital comes from cash or in-kind contributions, divided into shares held by the sole owner. By law, half must be paid up at incorporation, with the balance due within five years of registration.
A registered office is required, serving as the hub for legal, management, and primary operations. Options include domiciling at the shareholder's address, purchasing or leasing space, or using a professional domiciliation service. This address must appear in the bylaws and all business documents.
Other key points: The company's duration, set in the bylaws, cannot exceed 99 years. Nearly all activities are permissible, with rare exceptions. The shareholder's liability is limited to their contributions.
Decision-making power resides with the single shareholder, who often also acts as president—though a non-shareholder can be appointed. Formation rules mirror those of public limited companies and SAS, covering contribution releases, in-kind valuations, fund deposits, and RCS registration. An exception applies if the sole shareholder is president: no BODACC notice is needed.
The shareholder can amend bylaws as needed, such as for changes in purpose, name, or capital. To onboard partners, shares can be transferred or new ones issued via capital increase—automatically shifting to SAS status, requiring bylaw updates.
A top draw is the clear separation of personal and business assets, shielding the owner's finances from company debts.
Like the EURL, the SASU offers freedom: freely set capital and diverse contributions (cash, in-kind, or industry since the 2008 Economy Modernization Law).
Fewer burdens include no mandatory management report filing. If the shareholder is president and thresholds aren't met, this report can be skipped entirely.
Easily adapt for expansion or succession by selling shares or converting forms. Share sales enjoy a lighter tax regime than goodwill transfers.
The president qualifies as an employee for remuneration purposes, regardless of shareholder status—unique access to the general regime. This provides better retirement benefits than self-employed options for equivalent income. Dividends remain free of social charges.
In summary, the SASU empowers solo entrepreneurs with limited liability, dividend flexibility, strong social protection, and scalability. Yet, its formation involves legal complexities—consult a professional for guidance.
