An SCI is a civil company built to hold real estate. It lets several people own property together, share income flexibly, and pass it on gradually, but, unlike the commercial forms above, its partners’ liability is unlimited, so it deserves careful setup.
In brief
- Partners
- 2 or more
- Minimum capital
- €1, freely set
- Liability
- Unlimited, in proportion to each partner’s stake
- Taxation
- Income tax (IR) by default, option for corporate tax (IS)
- Purpose
- Civil (holding property) only, no commercial activity
Advantages
- Hold and manage property jointly under one clear structure.
- Pass property on gradually by gifting shares over time.
- Avoids the deadlock of joint ownership (indivision).
- Flexible allocation of income among partners.
Trade-offs
- Partners’ liability is unlimited (proportional), personal assets are exposed.
- Civil purpose only: it cannot run a commercial business.
- Real running formalities, accounting and shareholder meetings.
- The corporate-tax option is generally irreversible, model it carefully first.
Best for
Families or partners buying and holding property together, and anyone organising the transmission of real estate.
Frequently asked questions
Why use an SCI instead of buying in my own name?
An SCI makes shared ownership and gradual transmission far easier, and avoids the rigidity of joint ownership. The trade-off is unlimited liability and ongoing formalities.
Income tax or corporate tax for an SCI?
Income tax keeps things simple and is the default; corporate tax can suit some rental strategies but is usually irreversible. Decide with an advisor before opting in.