When setting up a company, the entrepreneur must establish a registered office for his structure, which will act as his legal domicile.

The entrepreneur has several options:

The list goes on and on. But beyond the physical location, what is the real purpose of a registered office? What are the different procedures involved?

We explain everything you've always wanted to know about the head office, but never dared to ask!

How do I get a head office?

When setting up a business, there are several options for finding the ideal head office.

Firstly, the company may own its head office, for which the acquisition of the property will correspond to the administrative address.

This will be recorded in the company's bylaws, and the registered office will be recognized as an asset on the balance sheet.

It is also possible to rent a commercial lease to set up your head office. This option, although comfortable, is often complicated for small structures with insufficient payment facilities to dig out their pockets for such a cost every month.

Another interesting option to consider is domiciliation of the registered office. This can be done through a commercial domiciliation company, or at the home of the legal representative.

This second option, often chosen by default by the entrepreneur for greater convenience, has a number of limitations: protection of privacy, high Cotisation Foncière des Entreprises depending on the commune of domicile, unprofessional image for customers, etc.

That's why commercial domiciliation is an excellent choice for business creators, since it enables you to obtain a head office, which you can set up in a prestigious area offering your company a high level of credibility.

What is the purpose of the head office?

As mentioned above, it's imperative to have a registered office for your company, for a number of reasons.

First of all, your registered office determines the nationality of the company, and therefore the law that applies to it. For example, a company headquartered in Switzerland will not be subject to the same tax and labor laws as one headquartered in France.

The registered office also serves as thecompany's administrative address , and must be mentioned on all administrative documents and the Kbis certificate.

This is also the address where the Annual General Meeting is held to take important company decisions.

In addition, the director is obliged to carry out all legal formalities in the place where the registered office is located. Then, if a dispute arises, it can be dealt with by a competent court based on the address of the registered office.

Note that a company has onlyone registered office, but may have several establishments or places of business. In other words, a registered office is defined as the place of management, but allows the company to carry on its business elsewhere.

Registered office address

You can domicile your company in several ways: at the home of the legal representative, via a rental lease, or at a specific location that can set up a collective domicile.

Thus, if the lease and co-ownership rules allow it, it is perfectly possible to set up your registered office at your own home. On the other hand, under no circumstances can you set it up at the home of one of your associates if he or she is not an officer of the company.

Often requested by entrepreneurs, the option of setting up in commercial premises, as tenant or owner, is a frequent way of establishing a head office. You'll have a wide choice of premises to suit your business. But all this comes at a cost! The often high cost of rent can hinder your development, especially in the early stages of your launch.

Last but not least, a business domicile set up by a specialized company is often a very good choice for start-ups. For this, you can call on the services of a domiciliation company, with whom you will sign an appropriate contract. These types of structures are commonly known as "business centers", and can provide you with an administrative address as well as ancillary services such as switchboard, accounting and equipment supplies. Through SeDomicilieryou can be sure of ongoing support and a selection of head office addresses in the heart of Paris and the Ile-de-France region.

Change of registered office

When a manager wishes to change his company's registered office, he must take this decision collectively by convening a General Meeting. The decision will then be recorded in minutes, and registered with the Registrar of the Commercial Court. The transfer of the registered office must then be published in a legal gazette. Finally, once the Greffe du Tribunal de Commerce has received a certain number of documents, the company's new registered office will appear on the Kbis. If you are a company, rather than a sole proprietorship, don't forget that this change also requires a modification of the articles of association.

For SARLs in particular, the power to change the registered office can be granted solely to the managing director. However, the next Shareholders' Meeting must approve the decision. As for the Société Anonyme (SA), it is possible to delegate the power to change the registered office, often granted by the Board of Directors, but subject to certain conditions. This is only possible if the transfer takes place in the same département or in a neighbouring one, and if the decision is subsequently approved by the shareholders' meeting.

Conclusion

When setting up your business, you really need to take the question of your registered office into account. This formality may seem trivial to you, but it is of vital importance for the successful development of your business. Whether you choose to run your business from your own home, through a rental lease, or by means of a commercial domiciliation, you'll need to study these different options carefully before opting for the most suitable solution.