Table of Contents

• Introduction
• Understanding the Requirement to Deposit the Startup Capital
• The Process of Depositing the Startup Capital
• Why Depositing the Startup Capital Can Be Challenging
• How Clevver Can Simplify the Process
• Conclusion

Depositing the startup capital is a crucial step in the process of establishing a company in France. This step is required to formalize your business and secure its financial foundation. However, for many entrepreneurs—especially non-residents—this process can be complex and challenging.

This article will explain how the process works, why it can be difficult, and how services like Clevver can help make the process smoother and more efficient.

Understanding the Requirement to Deposit Startup Capital

In France, the process of company formation involves several key steps, one of which is the deposit of startup capital into a business bank account. This capital acts as the financial bedrock of your company and is required before your company can be officially registered. The specifics of this requirement vary depending on the type of business structure you have chosen:

• SARL (Société à Responsabilité Limitée): The minimum capital requirement is €1, though a more substantial amount is often deposited to establish credibility with banks and partners.
• SAS (Société par Actions Simplifiée): Similar to SARL, with a minimum capital of €1, but flexibility in governance.
• SA (Société Anonyme): Requires a minimum capital of €37,000, reflecting its more complex structure and regulatory requirements.

The Process of Depositing the Startup Capital

The process of depositing startup capital involves the following steps:

1. Open a Business Bank Account: Before you can deposit your capital, you need to open a business bank account in the name of your company. This account will hold the initial capital until the company is formally registered.
2. Deposit the Capital: The startup capital must be deposited into the business account. This deposit can be in cash or in-kind (such as assets), depending on your company’s needs and the agreements among shareholders.
3. Obtain a Certificate of Deposit: Once the capital is deposited, the bank will issue a certificate of deposit (Attestation de dépôt des fonds). This certificate is a crucial document required for the next step in company formation—official registration with the French authorities.
4. Complete Company Registration: After obtaining the certificate of deposit, you can proceed to register your company with the Registre du Commerce et des Sociétés (RCS), which is the French company register. Once registration is complete, the startup capital is unblocked and can be used for business operations.

Why Depositing the Startup Capital Can Be Challenging

While the process may seem straightforward, there are several challenges that can complicate the deposit of startup capital in France, particularly for foreign entrepreneurs:

1. Bank Account Opening Difficulties: Opening a business bank account in France as a non-resident can be challenging. Many banks require the account holder to be physically present in France, which can be difficult for entrepreneurs who are based abroad. Additionally, French banks often require extensive documentation, such as proof of a business address in France, which can be hard to obtain for non-residents.
2. Language Barrier: The entire process, from opening a bank account to obtaining the certificate of deposit, often requires communication in French. For non-French speakers, this can pose a significant barrier.
3. Bureaucratic Delays: The French banking and administrative systems can be slow, particularly for non-residents who may not be familiar with the local processes. This can lead to delays in obtaining the necessary certificates and, consequently, delays in registering the company.
4. Legal and Regulatory Complexity: Understanding the legal requirements for depositing startup capital can be complex, especially for those unfamiliar with French business law. Missteps in this process can result in delays or even the need to restart the process.

How Clevver Can Simplify the Process

Given these challenges, many entrepreneurs are turning to services like Clevver to streamline the process of depositing the startup capital and opening a business bank account in France.

About Clevver

Clevver is a global service provider specializing in virtual office solutions, company formation, and business banking services for international clients. Clevver offers a range of services designed to help entrepreneurs navigate the complexities of starting a business in foreign markets, including France.

How Clevver Can Help

1. Virtual Office and Business Address: One of the key requirements for opening a business bank account in France is having a local business address. Clevver provides virtual office solutions that give you a legitimate business address in France, which can be used for bank account registration and other legal purposes.
2. Remote Bank Account Opening: Clevver works with partner banks that allow remote account opening, meaning you may not need to be physically present in France to open a business bank account. This can significantly reduce the time and costs associated with the process.
3. Documentation Assistance: Clevver guides you through the documentation process, ensuring that all necessary paperwork is correctly prepared and submitted. They can also assist with translations if needed, helping to overcome language barriers.
4. Faster Process: By leveraging their network and expertise, Clevver can often expedite the process of depositing startup capital and obtaining the certificate of deposit. This means you can move forward with company registration more quickly.
5. Comprehensive Support: Clevver offers ongoing support beyond just depositing startup capital. Their services include mail handling, tax registration, and compliance assistance, making it easier to manage your business operations from abroad.

Want to learn more? Get in touch with our Team.

Conclusion

Depositing the startup capital is a critical step in the process of establishing a company in France, but it can be fraught with challenges, especially for non-residents. From the difficulties of opening a business bank account to navigating the French bureaucracy, the process can be time-consuming and complex.

However, with the help of services like Clevver, you can streamline this process, ensuring that your startup capital is deposited smoothly and that your company is registered without unnecessary delays.

By using Clevver, you can focus on growing your business while they handle the administrative complexities, making your entry into the French market as seamless as possible.

Form your company in France with Clevver

You are ready to form a company in France, but don’t know where to start?

Every argument is there to decide to start doing business in the hexagone. That is, if you do not trip on the many complex steps and regulations of forming a company.

Use Clevver’s expertise on the ground to form your company:

• Local, french speaking partners
• Completely remote formation
• Company ready in 2-4 weeks
• No need to be a resident in the country
• Competitive pricing: see pricing

The Clevver solution:

• Deposit your share capital and get a pro account in 1 easy step with ClevverBanking
• The entire process takes place online
• No need to travel to France
• Save time and be business ready faster
• Manage your finance in the same Clevver portal as for all your business activities
  

Your business address on L’avenue des Champs-Élysées

• Well renowned location, elevating your company’s status
• Clevver takes care of your mail, allowing you to manage the company remotely
• View all the post received at your address in your Clevver portal
• Benefit from a much lower CFE (cotisation foncière des entreprises) rate of taxation than if you were to domiciliate your company outside of Paris
• Manage your finance in the same Clevver portal as for all your business activities

Why get the bundle instead of buying each service separately?

The regulation for company formation in France requires that:

• Every company that is being formed have an address of domiciliation in France
• During the formation process, a legal notice has to be published in a local paper, in french
• A certain number of rules set by law must be included in the company statutes
• The 1€ minimum start capital must be deposited before the company is opened. But most french banks won’t open an account to a non-resident director/shareholder, even less while the company is being formed. Classic example of a “the chicken or the egg first” situation.

And much more…

A company formation without any of the 3 services above is not complete.

Let Clevver take care of the entire process, allowing you to focus on growing your business instead, in France and at home. Take advantage of our bundle and save 200€.Get in touch with our Team.