Corporate Law at Réunion (France)
Sure! Here’s a clear overview of Corporate Law in Réunion — which, as an overseas department of France, follows French corporate law:
Corporate Law in Réunion (France Overseas Department)
1. Legal Framework
Réunion is an integral part of France and the European Union.
Corporate law in Réunion is governed by French commercial and corporate laws.
The main laws include:
French Commercial Code (Code de commerce)
French Civil Code (Code civil) (for contracts and obligations)
EU regulations and directives also apply.
2. Types of Companies
Companies in Réunion follow the same structures as in mainland France:
| Entity Type | Description |
|---|---|
| Société à Responsabilité Limitée (SARL) | Limited Liability Company, popular for SMEs, 2–100 partners, capital flexible. |
| Société Anonyme (SA) | Public Limited Company, for larger businesses, minimum capital €37,000. |
| Société par Actions Simplifiée (SAS) | Flexible simplified joint-stock company, very popular for startups. |
| Entreprise Individuelle (EI) | Sole proprietorship. |
| Société en Nom Collectif (SNC) | General partnership, partners have unlimited liability. |
3. Key Corporate Law Aspects
Company Formation: Must be registered at the Centre de Formalités des Entreprises (CFE) or online via the Infogreffe platform.
Capital Requirements: Minimum capital varies by type; SARL and SAS often start with €1 capital.
Shareholders & Liability: Shareholders’ liability limited to their contributions in SARL, SAS, and SA.
Corporate Governance: Companies have boards or presidents depending on structure; governed by French regulations.
Accounting & Audits: Annual accounts must be prepared and filed; audits required depending on size.
Employment Law: French labor law applies fully.
Taxation: Corporate tax rates aligned with France; standard rate currently about 25% (as of 2025).
4. Regulatory Authorities
Chamber of Commerce and Industry of Réunion assists with business creation and regulation.
Tribunal de Commerce (Commercial Court) handles corporate disputes.
French regulatory bodies (e.g., Autorité des Marchés Financiers (AMF)) regulate certain sectors.
5. Special Considerations
As an EU region, businesses in Réunion benefit from access to EU markets.
Eligible for EU and French overseas development funds.
Some tax incentives exist for investment in overseas territories (e.g., reduced corporate tax rates under certain conditions).
Summary
Corporate law in Réunion is essentially French law, with local adaptations for overseas departments. Companies incorporate following French commercial code rules and benefit from the protections and regulatory framework of France and the EU.
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