Distributable profit: what can we really distribute?

Updated March 30, 2026 - Before talking about dividends, we need to talk about distributable profit. It is he who sets the legal margin for maneuver before any distribution to the partners. In 2026, many errors come from confusion between accounting results, available cash flow and actually distributable profit.

The distributable profit is not:

• ▸cash in the bank;
• ▸turnover;
• ▸the raw result read too quickly;
• ▸an amount freely decided without legal constraints.

To complete, see Dividend distribution, Dividend distribution: rules, timing, taxation and evidence and Dividends SARL.

• ▸benefit of the exercise;
• ▸previous losses;
• ▸legal reserve;
• ▸distributable reserves;
• ▸assignment decisions.

Hayot Expertise Advice: a solid distribution begins with a legally clean calculation. Available cash comes next, but it never replaces the distributable profit rule.

Because it conditions the validity of the distribution and limits the risk of a bad decision to allocate the result.

We can help you make the calculation, documentation and articulation between annual accounts and decisions of the partners more reliable.

Quick link: Make your annual accounts and distributions more reliable

Distributable profit is a concept of corporate law before being a subject of cash. Mastering it well allows you to avoid poorly qualified or legally fragile distributions.

Contact: Do you want to check if your company can distribute peacefully? Our firm can help you make the right calculation before making a decision. Make an appointment with Hayot Expertise

(Official sources: Commercial Code, BOFiP)