{"id":249005,"date":"2022-11-08T10:04:00","date_gmt":"2022-11-08T09:04:00","guid":{"rendered":"https:\/\/www.altermes.fr\/principle-advantages-and-disadvantages-of-a-family-sarl\/"},"modified":"2023-12-14T12:25:17","modified_gmt":"2023-12-14T11:25:17","slug":"principle-advantages-and-disadvantages-of-a-family-llc","status":"publish","type":"post","link":"https:\/\/www.altermes.fr\/en\/principle-advantages-and-disadvantages-of-a-family-llc\/","title":{"rendered":"Principle, advantages and disadvantages of a family SALR (LLC)"},"content":{"rendered":"\n
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Embarking on an entrepreneurial adventure with your spouse, children or siblings is a real challenge. It’s a long-term project. This famous “family business” is governed by very specific regulations, those of the SARL de famille.<\/p>\n\n\n\n

It’s important to note that such a company is first and foremost a variant of the classic SARL. It has the same legal structure, but with a few special features that we’ll detail here.<\/p>\n\n\n\n

SARL similarity with LLC<\/h2>\n\n\n\n

SARL (Soci\u00e9t\u00e9 \u00e0 Responsabilit\u00e9 Limit\u00e9e) in France is very closed to LLC (Limited Liability Company) in the US. Both legal forms share several common features, including:<\/p>\n\n\n\n

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  1. Limited Liability: In both cases, owners are typically only liable for the company’s debts and obligations up to their initial investment. Their personal assets are protected in the event of bankruptcy or business disputes.<\/li>\n\n\n\n
  2. Management Flexibility: Both SARL and LLC offer a degree of flexibility in business management. Owners have the option to establish management agreements that suit their needs, allowing them to customize how the business is run.<\/li>\n\n\n\n
  3. Pass-Through Taxation: Both structures are generally subject to pass-through taxation, meaning that business profits are taxed at the owner’s level, avoiding double taxation at both the corporate and shareholder levels. However, it’s important to note that the exact tax treatment can vary depending on the jurisdiction and specific tax choices.<\/li>\n<\/ol>\n\n\n\n
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    Conditions for setting up a family limited liability company<\/h2>\n\n\n\n

    Creating a SARL de famille follows the same steps as creating a conventional SARL. The only difference is that the partners must be from the same family.<\/p>\n\n\n\n

    This notion of family is perfectly defined by law:<\/p>\n\n\n\n