Individuals wishing to buy real estate or who are already owners can find advantages in creating a civil real estate company (SCI).
An SCI is a group of people who come together to buy real estate with the aim of profiting from it. This investment is particularly recommended if you do not have sufficient resources to invest alone. Focus on the main advantages of creating a civil real estate company.
The status of SCI makes it possible to carry out real estate investments with several people. Indeed, by raising their capital, the partners increase their financial capacity and can more easily obtain external financing to buy a property complex. The titles are then distributed according to the contributions of each. In addition, under the SCI, the charges and costs of owning real estate are shared.
The creation of a civil real estate company facilitates the transfer on two aspects. On the one hand, a partner can easily leave the SCI by selling his shares, on the other hand, the holding of shares makes it possible to avoid joint ownership between children in the event of the death of the owner. It is thus possible to transfer your assets in stages in order to continue to benefit from the 100,000 euro allowance to avoid gift duties.
The civil real estate company is a legal structure with legal personality and its own assets. This has the effect of limiting the liability of the partners with regard to the investments made. In other words, in the event of financial difficulties, the creditors will only be able to turn against the partners after having taken unsuccessful action against the SCI. It should be noted that when an SCI has been created, it is more difficult for the creditor to obtain information concerning the extent of a partner's assets since only the name of the company is mentioned on the title deed of the company. building.
The SCI allows the partners to freely set the terms for decision-making. Indeed, the decisions taken by the partners are taken in accordance with the procedure provided for by the statutes, which avoids any blockage in the management of the property. Just like the decisions of the partners, the powers of the manager of the SCI are also defined in the statutes.
By creating an SCI, the partners can opt for the regime of partnerships or for corporation tax. The IS option provides several advantages, including the possibility for the partners to distribute dividends or to amortize the building.
If the SCI has undeniable advantages, its faults should not be underestimated. The creation procedures are particularly restrictive, as are the accounting obligations in the event that the company's profits are subject to corporate tax.
