SHARE CAPITAL INCREASE (DEBT SET-OFF)

Converting a claim into share capital can strengthen a French company’s equity without a new cash transfer. A common example is a shareholder loan conversion: the creditor subscribes for new shares and pays the issue price by setting off a claim against the company.

This FAQ explains the requirements for a French SAS or SASU share capital increase by debt set-off: a liquid and due claim, corporate decisions, statement of account, notarial certificate and supporting documents. It is written for directors, accountants, lawyers and other corporate advisers. Each transaction requires individual review before certification.

SHARE CAPITAL INCREASE (DEBT SET-OFF)

What conditions must a debt meet to be set off against a French share subscription?

Which documents should be sent to a French notary for a debt set-off capital increase?

Can a French notary issue a certificate for a share capital increase by debt set-off?

French SAS without a statutory auditor: how can it obtain a debt set-off certificate?

Share capital increase in France: cash payment or debt set-off?

How can a French SAS convert a shareholder loan into share capital?