Patrimony : Secure your transactions

Your personal assets: safeguard your property purchase by creating an SCI

The real estate investment trust (hereafter “SCI”) is a flexible and efficient wealth management tool which allows the rules governing property ownership to be devised.

In general, the main advantage of using an SCI as a means to own real estate derives from its ability to avoid the restrictive rules around joint ownership when compared to direct ownership.

Thus the SCI is most notably protected from potential creditors, optimises succession planning and creates a certain amount of stability within the family circle…

Creating an SCI requires the main objectives intended by the founding partners be identified upfront in order to calculate the amount of paid-up capital, the advisability or not of paying up the latter, the applicable tax regime, voting rules or the ways of selling shares.

In effect there are several types of SCI which vary slightly according to the objective sought by the founding partners (protection against potential creditor proceedings, succession optimisation, quick resale or by contrast finding long term rental income…).

From this perspective, the DIXIT CAUSA practice is involved in different phases of the set-up and life of your SCI by providing you with the following services:

  • A personalised analysis of your situation and your aims, especially regarding the nature of the real estate you intend to acquire (old or new property likely to benefit from favourable tax regimes applicable to investments in rental property) or your wealth objectives as well;
  • Advice as to the choice of the main characteristics which will govern your SCI regarding your situation and objectives which together we will define (high or low paid-up capital, immediately paid-up or not, determining the rules of majority, possible restrictions on selling shares, apportioning paid-up capital, the identity of managers and the way in which they are nominated and removed…);
  • A global service concerning the set-up in the strictest sense of your SCI (the drafting of all the required legal documents for the set-up of your SCI as well as follow up with all the related formalities for the clerk of the Commercial Court and of the Corporate Tax Office);
  • Assistance throughout the life of your SCI so that you can choose the most appropriate tax regime (corporate tax or income tax), decide the advisability of dividing the property from your shares, ensure the shareholder meeting register is accurately kept, or be advised when you come to sell your real estate (advisability of the choice between a sale of the shares or of the property).

Your professional assets: safeguard your purchase or sale of a business

The legal process pertaining to the acquisition of a stakeholding in a company or of a business remain complex regarding the multitude of decisions which fall to the different parties involved.

Thus any person considering acquiring or selling a company is correct to consider an evaluation of what he should hold, the advisability of acquiring a business as opposed to the acquisition of paid-up capital or shares…

The legal details related to the acquisition of a company are even more complex when the interests of the seller and the buyer are acknowledged, especially concerning possible recourse to debt or the content of legal deeds designed to protect all parties.

From this perspective, DIXIT CAUSA is involved in different phases of your acquisition or sale projects by providing you with the following services:

  • A comprehensive analysis of your situation in order to clarify for you the consequences of the choice of purchase or sale transaction related to a business or a stakeholding in the paid-up capital of a company;
  • Monitoring negotiations concerning the main questions around the purchase or sale of a company: extent of the possible guarantee of the assets and liabilities (floor, ceiling, determining the guarantees…) advisability and consequences of a possible holding, main tax consequences of the transaction, extent of the conditions precedent in the sale agreement…;
  • A global service concerning the realisation of the required deeds for the transaction: drafting of the sale protocols, the business sale agreements, updates of the share transfer register, required deeds to set up a holding company (and the related shareholder agreements), as well as follow up of all the required legal formalities for the clerk of the Commercial Court and in general with the relevant authorities.