Company Types in France

Choose the right business entity for your needs

SARL (LLC)

Limited Liability Company - most popular choice for small to medium businesses

Min. Capital:€1 (not included in formation cost)

Min. Shareholders:1

Min. Directors:1

Limited liability protection
Flexible management structure
Ideal for SMEs
Can have up to 100 shareholders

SAS

Simplified Joint Stock Company - flexible structure for growing companies

Min. Capital:€1 (not included in formation cost)

Min. Shareholders:1

Min. Directors:1 President

Highly flexible governance
Unlimited shareholders
Attractive for investors
Modern corporate structure

SA

Public Limited Company - suitable for large enterprises

Min. Capital:€37,000 (not included in formation cost)

Min. Shareholders:7

Min. Directors:3

Can list on stock exchange
Board of Directors structure
Enhanced credibility
Complex governance requirements

Why Register in France?

Major Economy

7th largest economy globally with strong purchasing power

Strategic Location

Gateway to European and international markets

Skilled Workforce

Highly educated and productive labor force

Innovation Hub

Strong R&D ecosystem with generous tax credits

Key Facts & Requirements

Corporate Tax Rate

25%

VAT Rate

20%

Incorporation Time

2-3 weeks

Min. Capital (SARL/SAS)

€1

Local Director

Not required

Annual Audit

Required (exemptions apply)

Step-by-Step Registration Process

1

Company Name Reservation

Reserve your company name with INPI (French Patent Office)

1-2 days

2

Prepare Documents

Draft articles of association and gather shareholder documentation

3-5 days

3

Capital Deposit

Deposit share capital in blocked account with French bank

5-7 days

4

Legal Publication

Publish incorporation notice in official legal journal

1-2 days

5

Register with RCS

Submit all documents to Commercial Court Registry (Greffe)

5-7 days

6

Obtain K-bis

Receive official company registration certificate (extrait K-bis)

Immediate

7

Tax Registration

Register with tax authorities and obtain VAT number if applicable

2-3 days

Advantages & Considerations

Advantages

Third-largest economy in Europe with 67+ million consumers
Strategic location connecting Western and Eastern European markets
Quick incorporation - company can be formed within 2 weeks
Highly skilled and productive workforce
Generous R&D tax credits - up to 30% of eligible expenses
Extensive double tax treaty network (120+ countries)
Strong intellectual property protection laws
Access to EU single market and trade agreements
Government incentives for innovation and technology sectors
Excellent infrastructure - airports, ports, rail networks

Considerations

Complex tax system requiring professional accounting support
High social security contributions (approximately 50% of gross salary)
Language barrier - most official business conducted in French
Extensive labor regulations protecting employee rights
Multiple annual tax obligations including CFE and CVAE
Strict employment laws making staff dismissal challenging
Higher operational costs compared to some EU countries

Additional Services

Corporate Banking

Assistance with opening corporate bank accounts in France with leading banks

Accounting & Tax

Professional accounting, bookkeeping, tax filing, and compliance services

Company Secretarial

Registered office address, legal support, and ongoing compliance management

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Frequently Asked Questions

How long does it take to register a company in France?

The typical timeline is 3-4 weeks from start to finish. This includes name reservation (1-2 days), document preparation (1 week), capital deposit (1 week), notarization and CFE submission (3-5 days), and RCS registration (1-2 weeks). Rush services can accelerate this to 2-3 weeks. Bank account opening adds another 2-4 weeks. With proper preparation and professional support, the process is straightforward though bureaucratic.

What is the difference between SARL and SAS?

Both are limited liability companies with €1 minimum capital, but differ significantly. SARL is more traditional with stricter regulations, limited to 100 shareholders, and simpler governance. SAS offers greater flexibility in governance structure, unlimited shareholders, more attractive to investors and VCs, and easier for equity compensation schemes. SAS is generally preferred for growth-oriented companies and startups, while SARL suits traditional small businesses.

Do I need to travel to France to set up a company?

Physical presence is generally not required for company formation itself if you use proper power of attorney and French legal representation. However, most French banks require at least one director to visit in person for corporate account opening, though some international banks offer remote onboarding with enhanced documentation. Video identification is increasingly accepted. Having a trusted local representative or service provider facilitates the entire process significantly.

What are the ongoing compliance requirements?

French companies must file annual financial statements with the Commercial Registry (RCS), submit corporate tax returns (due 4 months after year-end), maintain proper accounting records in French, hold annual general meetings within 6 months of year-end, and file monthly or quarterly VAT returns. Social security declarations (DSN) are required monthly. Depending on size, statutory audit may be mandatory. Professional accounting and legal support strongly recommended due to complexity and language requirements.

Can foreigners own 100% of a French company?

Yes, there are no restrictions on foreign ownership for most business sectors. Both EU and non-EU nationals can own 100% of French companies. Directors and shareholders can be of any nationality and do not need to be French residents. No requirement for resident director (though it can facilitate operations). Some regulated sectors (banking, defense, media) may have specific restrictions or require licenses.

What is the corporate tax rate in France?

The standard corporate tax rate is 25% on taxable profits (reduced from 33.33% in recent reforms). France also offers a reduced rate of 15% on profits up to €42,500 for qualifying SMEs with turnover below €10M. Additionally, companies benefit from one of Europe's most generous R&D tax credit schemes (CIR) offering 30% credit on first €100M of R&D expenses. Social contributions (3.3%) may apply for larger companies, bringing effective rate to approximately 26-28%.

Are there any government incentives for foreign investors?

Yes, France offers substantial incentives including: R&D tax credits (30% of eligible expenses), Innovation tax credit (CII) providing 20% on innovation costs, special tax regimes for new businesses in designated zones (ZFU, ZRR), expatriate tax exemptions for foreign directors and employees, grants and subsidies through BPI France, employment subsidies for job creation, and support for training programs. French Tech initiative and Station F provide ecosystem support for startups.

What accounting requirements apply to French companies?

All French companies must maintain proper books and records in French, prepare annual financial statements following French GAAP (plan comptable général), file accounts with the Commercial Registry (RCS), and submit detailed tax returns (liasse fiscale). Depending on company size, statutory audit (Commissaire aux Comptes) may be required if exceeding 2 of 3 thresholds: €4M balance sheet, €8M turnover, 50 employees. Professional accounting support is essential due to complexity of French accounting regulations and requirements.

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Price Summary - France

Guide price

Average engagement cost

€5,490.00

Base Formation Fee-€440.00

Virtual Office (Annual)€440.00

Total€0.00

Final price may vary based on specific requirements

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Company Registration in France