Where to Deposit the Capital of your Company?

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Where to Deposit the Capital of your Company?

Banks are the preferred interlocutors, if not the only, by entrepreneurs creating their companies when it comes to the deposit of funds.

However, it’s important keep in mind that banks aren’t the only authorized depositaries.

To be precise, the funds may be deposited in

• a bank

• a notary

• a state bank for official deposits (known in France as “Caisse des Depots et Consignations” or CDC)

IN THE “CAISSE DES DEPOTS ET CONSIGNATIONS”

According to the CDC's own figures, in 2016, more than 3,000 companies were included in the French Registry of Commerce and Companies after depositing their share capital.

The procedure is rather simple because it is done by post mail. You will need the same proofs as those necessary for your company creation file. You obviously need to add the funds of each partner or shareholder by means of a bank check for each of them. Checks written to the “Caisse des Dépôts et Consignations” must be issued by banking institutions domiciled in France. No bank check issued from abroad is accepted.

Last but not least, it’s important to know that the procedure is completely free (except for postal fees, of course).

AT YOUR NOTARY

This approach is more common if your notary is in charge of preparing other documents, for example, a promise to sell in order to acquire a property at the moment of the creation of the real estate company. The funds are then deposited by the notary in the CDC.

RELEASE YOUR FUNDS

Whether deposited directly at the CDC or at your notary, the company can only get back its capital by providing its bank account. What’s the interest then compared to the traditional approach of a banker? The deposit of your funds at the CDC or your notary allows you to create the company (get the ‘K-Bis’ number) before the actual opening of the bank account.