Company Formation in France

France is a good destination to set-up your company to cater to the large EU Market. YourGlobalPro can assist in France for Company Formation, Secretarial Compliance, Tax Registration, VAT Reclaim, Document Retrieval, Trademark Registration and Citizenship Services.

About the Country

The French Republic (“France”) a country with territory in Western Europe and several overseas regions and territories – extending extends from the Mediterranean Sea to the English Channel and the North Sea, and from the Rhine to the Atlantic Ocean. It is a developed country with the world’s 6th largest economy by nominal GDP having ninth-largest by purchasing power parity. The below content will explain you in detail about the requirements for the Company formation in France , know more about the process for Trademark registration in France and understand France Legal and Compliance requirements.


Doing Business Introduction

French Republic is largest country of the European Union with well-developed economy is main host countries chosen for direct foreign investments in the world. The major business sectors in France are electronics, transportation, tourism, textiles, food processing and chemicals.

As per Doing business report of The World Bank –France ranks 29 for 2017 survey. YourGlobalPro is able to assist its client with any type of company formation in France, trademark registration in France and other recurring services for your business.

Incorporation - Types of Business Entities

There are different types of entities that can be incorporated in France are as mentioned below:

  • Société à Responsabilité Limitée: have 2 and 50 shareholders and a managing director (gérant)
  • Entreprise Unipersonelle à Responsabilité Limitée: a sole trader and has only one shareholder
  • Société Anonyme: have a minimum of seven shareholders (there’s no maximum) and run by a board of directors
  • Société par Actions Simplifiées: At least two shareholders and a minimum capital of €23,000
  • Société par Actions Simplifiées Unipersonnelle: set up by a single person and minimum capital is €37,000 or €225,000
  • Société Civile Professionelle: limited to certain regulated professions
  • Société d’Exercice Libérale: which mimic the SARL, SAS, SA and SCA, for specific professions
  • Société Civile: a non-commercial partnership
  • Société en Nom Collectif: a general partnership
  • Franchises: contract with the franchiser
  • Partnerships: similar to a franchise contract, except that it isn’t standardized
  • Bureau de Liaison: a representative office
  • Branch: A branch office (succursale) of a larger company
  • Subsidiary: set up by French company using standard business entities
  • Location Gérance: the owner of a business rents his business
  • Associations: a not-for-profit association

Time Frame for Incorporation of Company in France varies from depending on the type of entity selected. Each business type has its own advantages and disadvantages. YourGlobalPro estimates the time required for the process of Company formation in France can be completed in 6-10 working days.

Benefits of Registration of a Company

Below are the advantages of company formation in France:

  • Business-friendly environment
  • Strong public facilities
  • A legal framework in line with European standards
  • Efficient IP protection regimes and s specific tax incentives for the creation, holding, disposal of rights therein.
  • Investor free to open bank accounts and apply for loans in France

Tax Registration and Filing

The taxation in France on companies depends on the territorial principle. Foreign companies carrying on an activity in France are required to pay French corporate tax on their French-source profits. French companies carrying on a trade or business outside France are not taxed.

Corporate Income Tax (CIT) Rate 33.33% (prepaid in four installments)
Capital Gains Tax Rate 0/15/ 33.33%
Branch Tax Rate 33.33%
Value-added Tax 2.1/5.5/10/20 %
Business Activity Tax 3%
Dividends 30/75%
Interest 0/75%
Royalties from Patents, Know-how 33.33%/ 75
Branch Remittance Tax 30%
Tax Return Filing Within three months following the end of their Financial Year.
Corporate Tax Installment Companies having financial year ending on 31 December must pay the installments on 15 March, 15 June, 15 September and 15 December.

Double Tax Treaty

France has double taxation treaties with over 100 countries.

Trademark registration

The France law provides for trademark protection of IP, including words, names, letters, numerals, labels, designs, sounds and musical phrases. For trademark registration in France application needs to be made to Trademark Office. It takes approximately 4-6 months’ timeframe to complete the process of trademark registration in France. The protection is granted for whole French territory, including French Overseas Departments and Communities.

In France, a Trademark Registration is valid for 10 years from the application and can be renewed for further 10 years before expiration date.

YourGlobalPro professionals can assist you with the process of Trademark registration in France for your business. For assistance or advice in the matter of the trademark registration in France or intellectual property – please feel free to write or contact us.

Secretarial Compliance

  • All companies Must have registered office
  • The general meeting may not be held more than 6 months after the balance sheet date
  • To prepare full financial statements including a balance sheet, an income statement and notes to the financial statements
  • Small and medium sized companies/LLCs have option to file abbreviated financial statements with Registry of the Commercial Court
  • In case of any alteration in the company details the same needs to be intimated to the Registry of the Commercial Court in prescribed application.

Accounting Services

In France, the Companies are required to prepare Accounting Statements in compliance with French GAAP, while public companies are required to publish IFRS accounts annually. All the Listed Companies are required to prepare a group financial statement in accordance with International Financial Reporting Standards (IFRS). And other companies or LLC to prepare their annual financial statements in accordance with accounting principles promulgated by the French Commercial Code and the General Accounting Chart (Plan Comptable Général; “French GAAP”).

YourGlobalPro professionals can assist you with the entire bookkeeping and accounting services for your France Business Setup as per your business needs including implementation of financial accounting software, accounting records preparation and time to time preparation of budgets, forecasts.

Auditing service

All the France Companies and LLC must have an Annual audit on their statutory financial statements. Also, consolidated financial statements are also subject to an audit. Only Small private corporations/LLCs are exempt for audit of their annual accounts. Generally, the Auditors of the entity are appointed by the shareholders’ resolution or by the constitution of the entity, for period of six years.

Based on the size of the business – the companies are required to prepare and file financial statements with the Authority. YourGlobalPro professionals also provide auditing services as required by your business.


Bank Account opening in France involves a lot of paperwork. The documentation requirement differs from Bank to Bank and need to be complied for the Bank account opening. All banks are stable, reliable and offer the same level of services.

YourGlobalPro professional can facilitate all the paper work in relation to banking need and can assist you in opening bank account for your business plan in France.

Legal and Compliance

Below is the various France legal and compliance requirement to be followed by incorporated entities:

  • Foreign direct investments in France, except in certain sensitive sectors, are only subject to an administrative declaration
  • To file their financial statements at the Registry of the Commercial Court within 1 month after the annual general meeting
  • To prepare a management report with requirement to listed company file
  • Large and medium size company to prepare and file consolidated financial statements that also comprise a group management report and must have an audit on their statutory financial statements.
  • Also, the consolidated financial statements are prepared according to the standards issued by the French Accounting Regulation Committee (CRC 99-02; “Consolidated French GAAP”)
  • It is employer obligation to verify that the immigration rules are followed before hiring any employee and proceeds to do the relevant declaration formalities.

YourGlobalPro can assist you on France Legal and compliance related queries.

HR and Employment Law and Immigration / VISA

Below are some of the important points in relation to HR & employment law in France:

  • Hiring of Any Employee must be declared to the local Social Security Authorities within an 8-day period preceding the start of the employment
  • Employment contracts under French law are for an open-ended period and in writing in French Language
  • In case more than 50 employees – the employer is required to file and send to the departmental director of labour, within the first eight days of each month a declaration of all the employment contracts entered.
  • Monthly salary to be paid to the employees.
  • the full working time is 35 hours per week
  • new employee must undergo a medical examination before his/her hiring
  • foreign employee comes from a country which is a member
  • a work permit not required for the employee having nationality of the European Union (‘EU’), except Bulgarian and Romanian nationals; and/or of the European Economic Area (‘EEA’) or Swiss nationals
  • An Employee is a non-EU national or a Bulgarian/Romanian national, he/she must have a permit authorising to work in France

Country Statistics

Capital Paris
Largest City Paris
Total Area 643,801 Sq. Km.
Population 66,991,000
Density 116 / Sq. Km.
Currency Euro (EUR)
Government Unitary Semiu-Presidential Republic
Official Language French
Religion Christian: 63-66%
Muslim: 7-9%
Buddhist: 0.5-0.75%
Jewish: 0.5-0.75%
Other: 0.5-1.0%
None: 23-28%
Business Offices Hours Monday to Friday - 9:00 AM to 6:00 PM
Banks and Exchange Houses Hours Monday to Friday - 9:00 AM to 5:00 PM

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