Legal entities become establishments and legal units !

Legal entities evolve. All you need to know about it in this article.

Legal entities become establishments and legal units !

Why do we make this evolution ?

Your company organisation is exposed in Lucca through different concepts such as legal entities, departements or analytical axis. 

The legal entities might be an establishement, a compagny or sometimes a group of companies.

We decided to clarify this concept and replace legal entities by the concept of establishment and legal units. Thanks to these two new concepts, we will be able to :

  • Better match the reality,
  • Add a new analysis level,
  • Simplify the settings,
  • Use the establishment information, which will be necessary for incoming new features

What is an establishment and a legal unit ?

The legal unit is a juridical entity that can be :

  • a legal person, 
  • a physical person 

In France, the legal unit is registered in SIRENE, and is identified by the SIREN identifier.

The establishement is a geographic production unit that legally depends on the legal unit.

In France, establishments are identified by their SIRET number.

A legal unit must declare an establishment (headquarter) which is located in the country of the legal unit.

An establishment can not be linked to several legal units, even if these legal units are located in the same place.

How the transition will be managed ?

Legal entities are central in Lucca solutions. This evolution will be managed in three different steps.

  1. Technical migration of your legal entities into establishements and legal units (no impact on your daily use)
    August 14, 2020
  2. Analysis and adjustments of your setup
    From October 23, 2020
  3. Use of establishments and legal units in Lucca solutions
    From 2021

1/3 Technical migration – August 14, 2020

The first step, that did not impact your daily use, consisted in create establishments and legal units considering specific criterias and constraints (a user must be linked to an establishment, that must be linked to a legal unit).

The goal was to prepare the future without impact the different Lucca solutions.

Legal unit creation has been made considering the following information:

  • Legal entities with different charts of account in Cleemy are different legal units
  • Legal entities from different countries are different legal units
  • Legal entities with specific names are different legal units (external, payroll company etc.)

Establishments have been created from the exisiting legal entities since they must register at least one establishment (the headquarter).

2/3 Analysis and adjustments of your setup – From October 23, 2020

This second step, starting now, consists in analysing your setup.

To do so, you can access to the establishments and legal units administration module from the settings wheel > Organization > Legal units and establishments.

You may notice that some establishments are wrongly grouped under the same legal unit, or some legal units are not named with the good one.

There is for now no impact on Lucca solutions.

Concretely, here are the modifications that you might need to do :

  • Create new legal units that have not been created during the automatic migration, and correct the links between establishments et legal units,
  • Modify the name of legal units
  • Fill in the new available information (address, calendar, etc.). They will be used for incoming new features.

The creation of establishments follows the same process as for the legal entities.

Establishments and legal units will appear in Lucca interfaces from 2021. 

3/3 Establishments and legal units in Lucca interfaces - from 2021

The appearance of legal units and establisments in Lucca interfaces will start next year to give you the time to adjust your setup.

To begin with, the change you will notice will only by visual (change of naming, new columns in reporting modules ...).

These new concepts will really be used in Lucca solutions from the second quarter of 2021.



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