SNC in Monaco: General Partnership Reference
Complete reference for the SNC (Société en Nom Collectif) in Monaco: formation, unlimited liability, partner requirements.
Key facts
- Minimum capital
- None
- Partners
- Minimum 2
- Liability
- Unlimited, joint and several
- Management
- All partners unless Articles specify
Definition and Structure
An SNC (Société en Nom Collectif) is a general partnership in Monaco where all partners are traders and bear unlimited, joint and several liability for company debts. The SNC structure emphasizes partnership and mutual accountability, making it common for family firms and professional practices such as pharmacies.
Capital and Partners
Minimum Capital
No minimum capital is required to form an SNC. Partners contribute capital as agreed.
Partner Requirements
- Minimum 2 partners, no maximum limit
- Partners can be natural or legal persons
- All partners must be traders (exercising commercial activities)
- The following cannot be partners:
- Minors
- Adults under guardianship or protective administration
- Bankrupt persons
- Those prohibited by law from carrying on trade
Management and Liability
Managing Directors
By default, all partners are Managing Directors of the SNC unless the Articles of Association specify a different management structure.
Unlimited Liability
All partners bear unlimited, joint and several liability for all company debts and obligations. This means:
- Creditors can pursue any partner for payment of the full company debt
- Personal assets of partners are at risk, not just capital contributions
- Liability extends beyond capital contributions
Restrictions on External Management
Partners cannot entrust management to external third parties. Management must remain with the partners themselves.
Company Name
The company name must consist of the surnames and/or first names of the partners only. External names cannot be included in the SNC designation.
Formation Requirements
Deed
An SNC can be formed by:
- Private deed (if no real property is included in capital contributions)
- Notarised deed (required if real property is included in capital contributions)
Articles of Association
Articles must specify:
- Legal form designation
- Company name (partner names)
- Location of registered office
- Duration of company
- Partner details
- Capital contributions
- Profit and loss distribution arrangements
- Management procedures
- Dissolution conditions
Publication
Formation must be published in the Journal de Monaco.
Duration
The maximum duration of an SNC is 99 years, unless otherwise specified in the Articles of Association.
Typical Uses
The SNC structure is commonly used for:
- Family businesses
- Professional partnerships (particularly pharmacies in Monaco)
- Joint trading ventures between trusted partners
Dissolution
An SNC is dissolved by:
- Expiration of the stated duration
- Death of a partner (unless Articles provide for continuation)
- Bankruptcy or incapacity of a partner
- Partner withdrawal (if permitted)
- Decision of the partners
- Court order
Frequently asked questions
The information provided is for general guidance only. For official procedures, always consult the official sources.
Related pages
See all guidesAccountants and Fiduciaries in Monaco: What They Help With
Guide to the role of accountants and fiduciaries, when to engage them, and how they support companies in Monaco.
Accounting and Auditing Firms in Monaco
Guide to accounting services, auditing firms, and financial reporting services in Monaco for businesses and individuals.
Finding An Accountant In Monaco - Regulatory And Professional Guide
'Guide to choosing an accountant in Monaco: regulatory requirements, responsibilities, TVA handling, social charges, annual accounts, and how to select the…
Accounting and Bookkeeping Obligations in Monaco
Reference for accounting and bookkeeping requirements for businesses operating in Monaco: records, auditors, annual accounts.