Domiciliation: 4 mistakes not to make

Company domiciliation is a mandatory formality for all companies in France. It takes place during the company's creation phase and corresponds to its administrative, fiscal and legal address. To successfully register your company, you need to avoid certain mistakes. SeDomicilier reveals the 4 mistakes not to be made when setting up a company address.
All you need to know about domiciliation
Reading time: 6min
Updated January 17, 2024
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Confusing the company's registered address with its place of business

Company domiciliation is a must for all companies wishing to legally carry on business in France. However, a company's registered address does not necessarily correspond to its place of business. As the law specifies, there is no obligation for the two addresses to be the same. It is important to distinguish between these two addresses to avoid complications. The address chosen for your company is the address to which your business mail will be sent, i.e. all official documents relating to your business. In other words, it's your company's head office.

This address will appear on all your company's commercial and administrative documents (estimates, contracts, invoices, corporate status, price brochures, etc.). As for your place of business, this is the address you have chosen to carry out your professional projects. You can carry out your business from any location (in the same département as your registered address, or abroad). Freelancers or companies whose business does not require regulated workshops or stock of goods can opt for a domiciliation address different from the place where they carry out their trade.

Choose any geographical area

The choice of geographical area is of paramount importance when choosing a company location. Indeed, the location you choose for your head office can influence the way your customers and business partners perceive your company. As well as impacting on your company's image, the location chosen for your registered office can also have an effect on the structure's accessibility and certain legal obligations.

So, if you don't want to set up your company's head office at your home address, you need to take the time to study the geographical area you intend to domicile your business in. This will enable you to choose a dynamic address, adapted to your core business and easily accessible to your customers and collaborators. Locations with a high profile, such as metropolises or capital cities, are very attractive as business addresses. You can take advantage of the city's popularity and dynamism to develop your business and expand your network.

Opting for a random domiciliation solution

There are a number of different options for domiciling a company. It's important to consider all the options before proceeding with the domiciliation of your company. As an entrepreneur wishing to domicile your company, you can choose between:

  • domicile the company in your home,
  • choose a domiciliation company,
  • buy or rent business premises or offices.

Choosing your home as your company's headquarters is the cheapest and simplest option for managers. This option seems especially attractive when the company is in the start-up phase. However, you need to bear in mind that, by setting up your registered office at home, you will have to communicate your personal address to third parties. This can compromise your work-life balance. On the other hand, choosing to go through a domiciliation company enables you to obtain a prestigious address in an attractive city or business district.

You can also take advantage of the additional services offered by the domiciliation company (mail reception, meeting room rental, administrative assistance...) to make your work easier. Renting or buying premises is more suitable for companies that need physical space. It does, however, require a substantial investment, and a financing plan may be necessary.

Do not compare proposals

When you decide to choose a domiciliation company, you'll need to compare the services on offer, in order to select the one best suited to your needs. The cost of domiciliation is not the same for all companies offering this type of service. Comparing offers will ensure that you don't pay more than you need to. To do this, you can use comparators such as Tool Advisor.

This also allows you to choose the offer that best suits your needs, as not all domiciliation companies offer the same additional services. Some domiciliation companies offer more prestigious addresses than others. Some also offer more flexibility when it comes to changing address than others.

When comparing direct debit offers, it is important to consider the following criteria:

  • The cost of domiciliation: as mentioned above, the price of domiciliation varies from one company to another. So it's important to compare prices to find the best deal.
  • Services on offer: domiciliation companies offer a range of additional services, such as mail reception, telephone answering service and meeting room rental. It's important to choose a company that offers the services you need.
  • Flexibility: some domiciliation companies offer more flexibility than others in terms of change of address, contract duration or termination. It's important to choose a company that meets your needs in terms of flexibility.
Written by our editorial expert
August 18, 2023

What are the mistakes to avoid when choosing a domiciliation company?

When you decide to choose a domiciliation service provider to house your company, you need to avoid making certain mistakes.

  • Don't check the service provider's reputation

    1. Do not check the provider's reputation

    To avoid any problems, don't hesitate to find out about the reputation of the domiciliation company you're considering. You should also check the legitimacy of the service provider before committing yourself.

  • Sign the contract without reading it

    2. Sign the contract without reading it

    Not reading the contract clauses before signing is a serious mistake to avoid. It is also essential to ensure that the contract does not include any hidden or additional charges.

  • Do not consider the quality of service offered

    3. Do not consider the quality of service offered

    While it's right to look for an affordable offer in terms of cost, it's advisable not to base your choice solely on the price offered by the service provider. Also consider the quality of service offered before making a choice.

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Frequently asked questions

How much does company domiciliation cost?
Chevron
The cost of a company domiciliation is not fixed. It varies according to the domiciliation solution chosen. For example, you need to budget between 10 and 70 euros just to obtain an address from a domiciliation company.
Why set up a company domiciliation?
Chevron
As stated in article L 123-11 of the French Commercial Code, company domiciliation is a mandatory step for any company in the process of being set up. In addition, the importance of domiciliation lies in tax and legal marketing. It reflects the company's professional image to customers, investors and partners, and reinforces its credibility.
How do I register a company?
Chevron
The steps involved in domiciling a company vary according to the option chosen by the entrepreneur. Remember that the process is entirely online when you choose to sign a contract with a domiciliation company.