When it comes to purchasing or owning property in France and Spain, leveraging a corporate structure can provide significant advantages for investors and property owners. From tax efficiency to liability protection, corporate structures such as SCIs (Sociétés Civiles Immobilières) in France and SLs (Sociedades Limitadas) in Spain are powerful tools for optimising ownership. At Interbridge Europe, we specialise in arranging loans for properties held within these structures, working closely with local professionals to ensure smooth transactions. These are the advantages we have observed when closing numerous cases in France and Spain however Interbridge do not give advice and anyone who is considering owning a property through a corporate structure should engage an appropriately qualified and insured advisor to ensure they receive advice that is tailored to their specific circumstances.
1. Tax Benefits and Optimisation
Both France and Spain offer attractive tax regimes for properties held in corporate entities:
In France, SCIs provide flexibility, allowing owners to choose between personal and corporate tax structures. Deductible expenses like loan interest, maintenance, and management costs can significantly reduce taxable income.
In Spain, SLs can lead to substantial savings, especially for rental properties. Corporate tax rates (around 25%) are often more favourable than personal income tax rates. Investors can also defer capital gains tax until dividends are distributed.
How Interbridge Can Help: We arrange loans specifically tailored for properties held within these structures. Our local contacts, including valuers, notaries, and lawyers, ensure that your transactions are optimised for tax benefits and comply with local laws.
2. Inheritance and Estate Planning
Corporate structures can simplify inheritance and estate planning:
In France, SCIs streamline inheritance by allowing heirs to inherit shares in the company instead of the property itself, potentially reducing tax liabilities.
In Spain, owning property through an SL can mitigate the impact of regional inheritance taxes, offering a more efficient way to pass on assets.
How Interbridge Can Help: Our team works with local experts to structure loans and ownership arrangements that align with inheritance goals, making complex processes more manageable for your clients.
3. Liability Protection
Corporate ownership separates personal and company assets, offering liability protection:
In Spain, SL shareholders enjoy limited liability, protecting personal assets from company debts.
In France, SCIs can safeguard personal wealth, provided the corporate structure is managed appropriately.
How Interbridge Can Help: By arranging loans based on the property’s value, we support clients seeking to protect their personal wealth while leveraging corporate structures for property ownership.
4. Simplified Joint Ownership
Corporate structures make joint ownership more manageable:
In France, SCIs can allocate ownership percentages and voting rights, reducing disputes among co-owners.
In Spain, SLs provide a clear framework for ownership and decision-making, ideal for families or investment groups.
How Interbridge Can Help: Our lending solutions are designed to support joint ownership scenarios, ensuring flexibility and clarity in financial arrangements.
5. Easier Property Management and Succession
Corporate entities simplify property administration:
Centralised bookkeeping for multiple properties.
Seamless succession planning through a durable corporate structure.
How Interbridge Can Help: We work with local lawyers and accountants to ensure that loan arrangements integrate seamlessly with property management strategies.
6. Flexibility in Selling or Transferring Property
Selling shares in a company is often simpler and more cost-effective than transferring property ownership:
Reduces transaction costs.
Can help avoid certain taxes associated with direct property transfers.
How Interbridge Can Help: We arrange loans that align with your clients’ financial goals, whether they are purchasing, transferring, or selling property through corporate structures.
Interbridge Europe: Your Partner for Property Ownership in France and Spain
At Interbridge Europe, we don’t just arrange loans—we provide a comprehensive solution for property purchases and ownership in France and Spain. Our deep understanding of corporate structures, combined with our strong network of valuers, notaries, and lawyers, ensures that every transaction is seamless and efficient.
Whether your clients are looking to purchase a new property, transfer ownership into a corporate structure, or optimize their tax and liability positions, we’re here to help.
👉 Learn more about how Interbridge Europe can assist you: Visit interbridgeeurope.com or contact us today for tailored loan solutions.
DISCLAIMER: ALWAYS TAKE SPECIALIST FINANCIAL AND LEGAL ADVICE BEFORE ENTERING ANY CORPORATE PROPERTY TRANSACTION.
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