Legal Forms of Companies in Morocco (2025)
Legal Forms of Companies in Morocco – SARL, SAS, SA – The Right Fit for the Right Business
Choosing the right legal form for your company in Morocco is crucial before you decide to set up a business.
In this article, we’ll outline the essential characteristics and differences between the most common company types in Morocco. These forms include:
First, the Société Anonyme (SA) or Public Limited Company. Second, the Société à Responsabilité Limitée (SARL) or Limited Liability Company. Third, the Société par Actions Simplifiée (SAS) or Simplified Joint Stock Company.
How to Choose the Right Legal Form for Your Company in Morocco
Setting up a business in Morocco is a bit like choosing an outfit for an event. The choice has to match your style, needs, and ambitions.
Between the SARL, SA, and SAS, selecting the legal form is vital. As experienced accountants, we offer a pragmatic overview to help you get a clearer picture.
Legal Forms of Companies in Morocco – The Limited Liability Company (SARL)
The SARL is like the well-tailored pair of jeans of the business world: classic, reliable, and suited for most situations. In fact, it’s the most widely used legal form in Morocco.
What you need to know about the SARL:
- Number of partners: 1 to 50.
- Share capital: No legal minimum, but often around 10,000 DH.
- Liability: Limited to contributions.
- Management: Handled by one or more natural persons.
Advantages:
- Simple to create and manage.
- Structure suitable for small and medium-sized businesses.
- Clear taxation and social security for managers affiliated with the independent workers’ scheme.
Disadvantages:
- Less flexibility in power distribution.
- Transfer of shares subject to partners’ approval.
- Less attractive to external investors.
SAS (Société par Actions Simplifiée): Flexibility Personified
Law 19-20 (adopted and published in Official Bulletin No. 7006 on July 22, 2021) introduced a new form of company: the simplified joint-stock company.
The SAS is like a custom-made outfit: elegant, adaptable, and ideal for those who want to structure their business in their own image.
- Number of partners: At least 2 (or 1 for a SASU, the single-partner version).
- Share capital: Flexible, no minimum required.
- Liability: Limited to contributions.
- Management: A president is mandatory; the rest is customizable according to the bylaws.
Advantages:
- Great statutory freedom to organize governance.
- Easy entry for investors and fundraising.
- Suited for startups and innovative projects.
Disadvantages:
- More complex drafting of bylaws.
- Higher creation and management costs.
- Less legal framework, thus requiring increased vigilance.
SA (Société Anonyme): For Grand Ambitions
The SA is the tuxedo of legal structures: formal, imposing, and tailored for major occasions.
- Number of shareholders: Minimum 5.
- Share capital: Minimum 300,000 DH.
- Liability: Limited to contributions.
- Governance: Board of directors or executive board and supervisory board.
Advantages:
- Structure suitable for large companies and public offerings.
- Ease of share transfer.
- Enhanced credibility with financial partners.
Disadvantages:
- Heavy creation and management formalities.
- High operating costs.
- Less flexibility in day-to-day management.
In Summary
Choosing the right legal structure is like picking the right vehicle for a journey: it all depends on the destination, budget, and desired comfort. The SARL is ideal for a smooth start, the SAS offers valuable flexibility for innovative projects, and the SA is tailored for large companies with national or international ambitions.
Take the time to clearly define your objectives and don’t hesitate to consult an accountant to guide you in this strategic decision.
It’s worth noting that the legal form has very little impact on corporate income tax. All these forms are subject to the same tax rules.
📌 FAQ – Legal Forms of Companies in Morocco
- What is the simplest form to start with? The SARL. Easy to set up, inexpensive, and perfect for small to medium-sized activities.
- Can a single partner create a company? Yes! This is possible with a single-partner SARL (SARL AU) or a SASU (the solo version of the SAS).
- Which form to choose for fundraising? 💡 The SAS is often preferred for fundraising due to its statutory flexibility and its ability to easily accommodate investors.
- What if you’re aiming for the Stock Exchange or major expansion? The SA is the most suitable for large structures, especially in case of a public offering.
- Is there a tax difference between SARL, SAS, and SA? No. All are subject to corporate income tax under the same rules.
- Can you change the legal form later? Yes, it’s possible, but it involves legal and accounting formalities that need to be anticipated.
Need to discuss this with an expert? Contact us.
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