How to choose a legal form for your business?
SARL or SAS or sole proprietorship?
Comparison of corporate legal forms
When setting up a business, the choice in terms of legal form is between a partnership and a capital company.
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The partnership: structure whose conditions of incorporation are strongly influenced by the identity of the partners.
The capital company: this is a form of business that is much more interested in the nature and value of the contributions than in the identity of the partners
Here is a comparative table of the different forms according to their particularities in terms of conditions of constitution and governance.
| Number of partners | Social capital | Management | Director's responsibility | |
| Individual company | One and only: the entrepreneur | No minimum capital required | The entrepreneur (Natural person) | Unlimited |
| Anonimous society | 5 legal or natural persons at least | A minimum capital of 300.000 dhs. (3.000.000 for a company that calls for public savings) | Board of directors made up of 3 to 12 people and whose chairman must be a natural person. | Limited to capital contributions. |
| Joint stock company | A minimum of two shareholders | No minimum capital required. | The mode of management determined by the statutes. President natural or legal person, partner or not. | Limited to capital contributions. |
| Limited liability company | One to several partners without exceeding 50 people. | No minimum capital required. | A natural or legal person manager. | Limited to capital contributions. |
| Partnership | 2 partners at least | No minimum capital required. | All the partners are managers unless mentioned in the articles of association. | Indefinite and joint and several liability. |
| Limited partnership | Two at least. A general partner and a limited partner. | No minimum capital required. | Provided by the general partners. | The sponsors:indefinite and joint and several liability. Sponsors:liability limited to the amount of their contribution. |
| Partnership limited by shares | Two types of associates:– Limited partners– General partners | A minimum capital of 300.000 dirhams. | Appointment of directors by the statutes. | The sponsors:indefinite and joint and several liability.Sponsors : limited liability up to the amount of their contribution. |
| Economic interest group | One or more natural or legal persons. | Possibility of incorporation without capital. | At least one administrator. | Indefinite and joint and several liability. |
