Subsection 1: Definitions

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Article L722-2

French Monetary and Financial CodeIn force

Updated 6 Nov 2023

For the application of the provisions of this Book:
1° A "financial institution" is a company other than a credit institution mentioned in Article L. 511-1 or an investment firm mentioned in Article L. 531-4 and other than a purely industrial holding company, whose main activity consists of acquiring holdings or carrying out one or more of the following activities:
a) Lending;
b) Leasing;
c) Payment services;
d) Issuing and managing other means of payment, in particular travellers' cheques and letters of credit;
e) Granting guarantees and underwriting commitments;
f) Transactions, on its own account or on behalf of clients, in money market instruments, foreign exchange markets, financial futures and options, foreign exchange instruments, interest rate instruments or securities;
g) Participation in securities issues and provision of related services;
h) Advice to companies on capital structure and industrial strategy and advice on mergers and takeovers;
i) Intermediation on interbank markets;
j) Asset management and advice;
k) Safekeeping and administration of securities;
l) Issuing of electronic money.
The financial institution may also be a financial holding company referred to in Article L. 517-1, an investment holding company referred to in Article L. 517-4-3, a payment institution or a portfolio management company;
2° The word "branch" refers to a place of business which constitutes a part of a credit institution or financial institution without legal personality and which directly carries out, in whole or in part, the operations inherent in the activity of a credit institution;
3° The expression "banking service" refers to a banking operation within the meaning of Article L. 311-1 or one of the related activities within the meaning of I of Article L. 311-2.

Mariela Petrova

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Common Questions

Working with a corporate lawyer in France — Q&A

Any time a strategic decision changes how the company is owned, governed or contractually bound — incorporation, fundraising, M&A, restructuring, shareholder agreements, or major commercial contracts. Earlier engagement always costs less than later remediation.

A notary (notaire) is a public officer who authenticates specific deeds (mainly real-estate transfers and certain family-law acts). A corporate lawyer (avocat) advises on strategy, negotiates and drafts company documents, and represents you in disputes. The two roles complement rather than overlap.

Yes — most of our clients are foreign suppliers, investors or holding entities. We bridge the gap between French law and your home jurisdiction's expectations and deliver everything bilingually.

The SAS (Société par Actions Simplifiée) is the default choice for most international structures: flexible governance, single shareholder allowed, no minimum capital, and works cleanly with foreign holding entities. We assess SARL, SA, SCI on the merits when the situation calls for it.

Yes — communications with a French avocat are protected by the secret professionnel (Article 66-5 of the Law of 31 December 1971). This protection is broader than the common-law attorney-client privilege and applies to written and oral exchanges.

We work on fixed fees for clearly scoped engagements (incorporation, contract drafting, audits) and on monthly retainers for ongoing advisory. Hourly billing is the exception, not the default. You always know the cost before work starts.

Typical timeline is 2–3 weeks from KYC kick-off to RCS registration, assuming standard documentation. Holding-company structures, foreign-shareholder identification or in-kind contributions can extend this — we flag the gating items at the first meeting.

Absolutely. We routinely coordinate with your in-house counsel, expert-comptable or notaire — pragmatic collaboration is the norm, not the exception. We send them everything they need to do their part without duplicating work.

Mariela Petrova

Mariela Petrova

Avocate au Barreau de Paris

Toque #C2396

15+ Years In Corporate Practice

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Communications protected by professional secrecy — secret professionnel de l'avocat, Article 66-5 of the Law of 31 December 1971.

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