▷ EURL or SASU: legal statutes to start a business project alone 2020 -

Creating a company whose turnover will quickly exceed the thresholds of a micro-enterprise requires making a legal choice. Sole Proprietorship is a solution if you are sure that you are alone in control. Simple and inexpensive to create, this legal form has the disadvantage of not properly separating personal wealth from professional activity. In return for formalities and incorporation costs, the incorporation of a company brings more credibility to the project and makes it possible not to mix the personal wealth of the entrepreneur with his activity. The company also makes it possible to limit liability to participation in share capital…

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EURL or SASU: rigidity or statutory freedom and status of the different manager

The simplified one-person joint-stock company (SASU) has as main characteristic a legal flexibility and an ability to grow with associates while giving the founder of the company the opportunity to keep control. Yes EURL (one-person limited liability company, single-person form of limited liability company SARL) remains a simple company to create and manage, its statutes are more rigid. It also has the disadvantage of a social regime which is highly criticized for its majority manager. It is subject to social security scheme for the self-employed (RSI), while the sole associate president of SASU is covered by the general social security system if he is remunerated.

There are many criteria for choosing between SASU or EURL. These two legal forms make it possible to develop the business with partners or shareholders. Thanks to the legal personality they offer to the company, they also make it possible to properly separate the personal and professional heritage of their managers. The main advantage of the EURL lies in the simplicity of its statutes. On the contrary, SASU allows them to be personalized to meet specific management and decision needs. The other differences are on the fiscal and social side. EURL, with the corporate tax option to be assimilated to the tax regime of employees, is a simple solution to support the evolution of the activity with partners. SASU avoids the famous RSI, the new version of which must come into force on 1st January 2018.

The figures for business start-ups confirm the success of SAS / SASU

The year 2016 recorded 29,000 more business creations than in 2015, or 6% more. This increase is the strongest recorded in 6 years, despite a slight drop in the number of micro-enterprise creations. The share of the micro-enterprise regime in all business start-ups is the lowest since 2010. At the time, it was 58%, compared to 40% in 2016. The share of sole proprietorships “Classic” has not returned to its level before the creation of the auto-entrepreneur scheme in 2009. But their number increased by 10% in 2016 compared to 2017.

On the other hand, the new companies created in 2016 used more corporate legal forms in 2016. Over the period 2007 – 2016, the number of business creations using company legal statutes (SASU, SAS, EURL, SARL…) has never been higher. With 188,800 new companies, 2016 confirms the trend recorded since 2014.

Among the companies, the articles of incorporation of the simplified joint stock company SAS are the most used in 2016. The cumulation of multi-person and single-person SAS represents 56% of the companies created. SASU accounted for 33% and SAS 23%. Conversely, the share of all limited liability companies has been declining steadily: it went from 77% in 2012 to 40% in 2016, with 16% of EURL and 24% of SARL.

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