The Société Civile Particulière (SCP) is a form of property company commonly used in Monaco for non-commercial professional activities. This article explores the main features of the SCP, including its composition in partners, its joint and several liability and its special tax regime. We also look at the types of activities for which SCPs are commonly used and the legal requirements for setting up an SCP in Monaco.

The Société Civile Particulière (SCP): a form of asset management company for non-commercial professional activities in Monaco

SCPs are often used for real estate activities, but they can also be used for other activities, such as securities portfolio management, management of movable and immovable property, etc.

Composition of an SCP

The SCP is created by a set of articles of association which must be registered with the Principality’s Tax Department.

The SCP is made up of at least two partners, who may be natural persons or legal entities.

Partners’ liability

The partners of an SCP are liable for the company’s debts on an indefinite and joint and several basis. This means that each partner is liable for all the company’s debts, even if they have been incurred by the other partners. In addition, partners may not transfer their shares without the consent of the other partners, unless the articles of association provide otherwise.

Tax regime

The profits of the company are recognised in the hands of the partners, according to their share in the company. The partners of the SCP are also subject to French property wealth tax if they own a property in France whose market value on 1 January exceeds certain thresholds.