A SARL must take a decision on its main activity. It is left to each partner to freely choose the field of operation of the company. However, certain principles must be respected (in particular, the object must be legal and achievable). Foundation-company-ricard makes a statement of characteristics of the main activity of an LLC.
Advantages of the corporate object for a SARL
THEsocial object describes the type of activity practiced by an LLC. These are operations that generate profits.
THEsocial object is one of legal elements inherent in a SARL and must be mentioned in its statutes (as well as its longer term,, to denomination and his the head office). It allows:
- De limit the prerogatives the manager (he must assume the consequences of acts outside the corporate purpose);
- D’lead to end of life of the company once achieved or reached (this is a cause for dissolution);
- To prescribe the form of the activities carried out by the SARL, to determine its APE code and to define the collective agreement in terms of labor law.
Select the corporate purpose of a SARL
Partners have the is to opt for thecorporate purpose of their choice. However, it is necessary to ensure that it is:
- Feasible (i.e. "executable"),
- Legal (it must not relate to prohibited things and must be in accordance with public order and good morals).
It is essential to draft the clause concerning the corporate purpose with precision. In addition, it is customary to include an ancillary activities clause (called an extension clause) which provides that the SARL is authorized to participate in all operations directly or indirectly related to its activities.
Finally, it is important to consider that certain activities cannot be exercised in a limited liability company (such as, for example, insurance, savings and provident insurance, tobacconist's shops or the collection and distribution of authors…).
Summary of the procedures for declaring the corporate purpose of a SARL
The statutes of the LLC must include a statement of social object. Once signed, this statement will be recorded in the trade and companies register (RCS) and will be mentioned on the Kbis extract. The declaration is made within the framework of the LLC creation procedures, and accompanied by a number of documents.
Change of the corporate purpose of a SARL
Throughout his social life, the partners have the right to modify the corporate purpose of the SARL. However, it is essential to be careful because the tax consequences can be very significant if the nature of the activity carried out is changed. .
You have to follow a certain procedure:
- Organize an extraordinary general meeting and take a decision,
- Record the decision in the minutes of the general meeting,
- Modify the articles of association of the limited liability company,
- Broadcast a legal announcement concerning the modification of the corporate purpose,
- Update the information appearing in the trade and companies register.
Alteration of the social purpose of an LLC
During his social life, the partners have the possibility de modify the corporate purpose of the SARL. However, it is necessary to be careful because the tax consequences can be very significant if the nature of the activity carried out is changed. .
You have to follow a certain procedure:
- Organize an extraordinary general meeting and take a decision,
- Record the decision in the minutes of the general meeting,
- Modify the articles of association of the limited liability company,
- Broadcast a legal announcement to modify the corporate purpose,
- Update the information appearing in the trade and companies register.
