A common misconception is that " business domiciliation " and "domiciliation for individuals" are similar concepts. Think again! In fact, there are many differences between them.
Direct debit for individuals is for people who want to outsource the management of their personal mail. It's also known as a " domiciliation box ".
Business domiciliation, like obtaining a registered office, is the first stage in setting up a company, and designates the administrative and tax address to which all mail is sent. It is commonly used by entrepreneurs who wish to dissociate their personal and professional addresses, while benefiting from numerous additional services such as mail management.
There are many other differences, and we'll go into them in greater detail throughout this article. Just follow the guide!
Company domiciliation is a service designed to separate the address of your registered office from your actual place of business. It is offered by a domiciliation company. In short, it's your company's shop window. It is the first formality to be completed when setting up a company, and applies to entrepreneurs, associations and the self-employed alike.
Choosing your registered office with particular care is one of the keys to your success, as this address will appear on all your official documents (invoices, quotations, purchase orders, etc.).
It also determines the company's nationality, country of taxation and jurisdiction in the event of a dispute.
Domiciliation companies offer entrepreneurs a wide range of additional services. Much more than just a mailbox, they can take advantage of a wide range of services to outsource time-consuming, low-value-added tasks.
In certain situations, locating in a ZFU or ZFU-TE can reduce your tax liability. Some areas are partially or fully exempt from paying the CFE (Contribution Foncière des Entreprises). Did you know that the CFE is lower in Paris than the national average?
The results are immediately visible, with real productivity gains and an improved corporate image.
Domiciliary companies don't just offer their services to businesses.
Private individuals are also concerned, but do not benefit from quite the same offers.
For many people, the domiciliation box enables them to meet an administrative requirement whereby every resident must have a reception address to receive administrative, legal and tax documents, etc.
What's the difference with a home address? For example, you can't use the address of your domiciliation box as proof of address. For some people, it's also a matter of confidentiality and discretion.
The domiciliation box set up by a domiciliation company has little in common with a simple post office box.
Firstly, because it's managed directly by a domiciliation center and not by La Poste, and secondly, because a boîte de domiciliation offers much more than just mail forwarding.
So, with a domiciliation company, you can have your mail forwarded to you without any time limit (except the one mentioned in your contract), and you can choose your address from a wide range of prestigious and prestigious locations.
You can also subscribe to a range of additional services, such as a switchboard to transfer calls or take messages in your absence.
The most common alternative to company domiciliation is to choose the entrepreneur's personal home as the registered office. In reality, this is a restrictive solution , as it requires you to publicly disclose your place of residence on all your official documents, online directories, your website, etc.
Many business leaders see it as a threat to their privacy
Business domiciliation allows you to enjoy the benefits of working from home, while displaying a different address for your head office.
Finally, leasing commercial premises imposes a number of financial constraints, with the payment of a deposit, monthly rents and the presentation of numerous guarantees. Many growing companies prefer to use their resources differently, and retain greater flexibility.
Domiciliation for companies and domiciliation for individuals are therefore two different services that meet two different needs. They are neither the same targets, nor the same products.
However, they still provide invaluable services, and are attracting the interest of many private individuals and business owners! So what are you waiting for?
Written by our expert Paul LASBARRERES-CANDAU
June 17, 2019
