Relocating to France to Start a Business: What You Should Know

France, with its rich culture, dynamic economy, and strategic location in Europe, offers numerous opportunities for entrepreneurs looking to expand or establish new ventures. Whether you’re considering relocating from abroad or expanding your existing business into France, understanding the local business environment, legal regulations, and available support structures is crucial for a successful start.

This guide will help you navigate the process of relocating to France to start a business, providing essential information about legal requirements, business culture, taxes, and the key steps to take to establish a thriving business in France.

Why France is a Great Place to Start a Business

1. Access to the European Market

As part of the European Union (EU), France provides easy access to over 450 million consumers within the single market. This simplifies international trade, access to goods and services, and the movement of capital.
Customs Union benefits mean that you can trade freely with EU countries without facing additional tariffs.

2. Strong Economic Foundation

France is the seventh-largest economy in the world and the second-largest in the EU. The country is a leader in various sectors including technology, luxury goods, aerospace, and automotive manufacturing.
The tech ecosystem in France is growing, with an increasing focus on fintech, artificial intelligence, blockchain, and digital transformation.

3. Government Support for Entrepreneurs

France offers a range of financial support programs for businesses, including Bpifrance (the public investment bank), grants, subsidies, and innovation tax credits like the Research Tax Credit (CIR) for startups engaged in R&D.
The French government has implemented policies to simplify the startup process, with reforms that reduce bureaucracy and make it easier to start and operate a business.

4. Skilled Workforce

France has a highly skilled labor force, with excellent educational institutions producing top-tier professionals in sectors like engineering, technology, management, and design.
The French Tech Visa initiative helps attract international talent, making it easier for foreign entrepreneurs and employees to relocate to France.

5. Quality of Life

France offers an exceptional quality of life with excellent healthcare, a strong education system, and a world-renowned cultural scene. Cities like Paris, Lyon, and Bordeaux are global hubs for work and lifestyle.

Key Steps to Relocate and Start a Business in France

1. Choose Your Business Structure

France offers various legal structures, each with different implications for liability, taxation, and operational flexibility:

Micro-Entrepreneur: A simplified, low-cost option ideal for small businesses and freelancers with limited revenue.
Société à Responsabilité Limitée (SARL): A limited liability company that offers more flexibility and protection for small to medium-sized businesses.
Société par Actions Simplifiée (SAS): A joint-stock company that is popular for larger businesses or businesses planning to raise capital.
Société Anonyme (SA): A public company structure, suitable for large businesses and those intending to raise funds through public shares.

2. Register Your Business

To legally operate in France, you need to register your business with the Centre de Formalités des Entreprises (CFE). The registration process differs depending on your business structure but typically involves:

Submitting identification documents.
Providing details about your business activities and ownership.
Acquiring a SIRET number (a unique business identification number) from the INSEE (National Institute of Statistics and Economic Studies).

If you plan to hire employees or interact with customers, you will need to register with relevant authorities and get an Ape code for your business activity classification.

3. Obtain Necessary Permits and Licenses

Depending on the nature of your business, you may need specific permits or licenses:

Food Safety License: Required for businesses in the hospitality industry.
Liquor License: If you plan to serve alcohol.
Health and Safety Inspections: For businesses involving manufacturing, construction, or other regulated industries.

4. Open a Business Bank Account

It is mandatory to open a business bank account in France for your company, which is essential for managing transactions and paying taxes.
Many French banks offer specialized accounts for startups, providing additional services such as advice, loans, and credit facilities.

5. Comply with French Tax Requirements

France has a relatively high level of taxation, but the government offers various incentives for startups and businesses investing in innovation.

Corporate Tax: The standard rate is 25% as of 2025. Lower rates may apply to small businesses, and tax credits for R&D can reduce your liability.
VAT (TVA): Businesses exceeding annual revenue thresholds must register for VAT.
Social Security Contributions: Entrepreneurs must contribute to France’s social security system, including health, pension, and unemployment benefits for employees.

6. Hire Employees

If you plan to hire employees, France has strong labor laws that protect workers, including:

Paid vacation and sick leave.
Work contracts that must meet strict regulations.
Social Security contributions for employees.

Make sure to follow the labor laws when drafting contracts and establishing work policies for your team. The Pôle Emploi (French employment agency) provides helpful resources for employers.

7. Setup Online Presence and Marketing

In today’s digital age, setting up a strong online presence is essential. This includes:

Registering a domain name.
Creating a professional website.
Setting up e-commerce capabilities if applicable.
Leveraging digital marketing strategies to build brand awareness and attract customers, particularly if your business relies on online sales.

Costs of Starting a Business in France

Key Considerations Before Relocating Your Business to France

1. Language

While many French people speak English, French is the primary language used in business. Learning the language or hiring bilingual staff can ease communication and improve relationships with clients, employees, and government agencies.

2. Business Culture

Formality is essential in French business culture. Punctuality, professional attire, and formal communication are highly valued.
Building trust with local partners and clients is a long-term process that often involves face-to-face interactions, even in the digital age.

3. Cost of Living and Business Expenses

The cost of living in cities like Paris is high compared to other European cities, which may translate into higher operational costs, especially for office space, salaries, and services.
However, smaller cities like Lyon, Bordeaux, or Toulouse may offer more affordable costs of doing business while still providing access to skilled labor and infrastructure.

4. Access to Talent

France has a well-educated workforce, and many universities offer programs tailored to industries like tech, engineering, and finance. You can access a pool of highly skilled employees, particularly in sectors like software development, engineering, and research.

Why Choose B2B Hub for Relocating Your Business to France?

Starting a business in France involves navigating legal, financial, and cultural complexities. B2B Hub offers comprehensive services to ensure a smooth relocation and setup for your business.

Services Offered by B2B Hub:

Business Registration: Assistance with choosing the right structure, registering your company, and obtaining necessary permits.
Tax and Compliance: Expert advice on French tax regulations, VAT registration, and social security contributions.
Financial Planning: Help with budgeting, securing funding, and managing cash flow.
Employee Recruitment: Support with hiring local talent and complying with French labor laws.
Market Strategy: Guidance on building your brand and marketing your business in France.

Why Partner with B2B Hub?

Local Expertise: In-depth knowledge of French business laws, tax regulations, and labor market.
Comprehensive Solutions: End-to-end services from registration to scaling your business.
Global Perspective: Experience in assisting international entrepreneurs with entering the French market.

Relocating to France to start a business offers immense potential, thanks to its strategic location, business-friendly environment, skilled workforce, and access to the EU market. With the right planning and local support, your business can thrive in one of Europe’s most dynamic and innovative countries.

B2B Hub is here to guide you through every step of the process. For inquiries, contact us at +44 770 018 3107, visit our website at b2bhub.ltd, or email us at reg@b2bhub.ltd. Let us help you turn your business relocation into a success in France.