Montpellier Méditerranée Technopole
Legal matters
Are you an individual seeking to create your company in France?
ARE YOU AN INDIVIDUAL ENTREPRENEUR SEEKING TO CREATE YOUR COMPANY IN FRANCE?Start by choosing the appropriate legal status. Several flexible options are available. The easiest way to approach this question is to write to us using this 1-minute form. Another option is to contact a specialized lawyer directly (lien vers Annuaire 2).
ARE YOU LOOKING FOR INVESTMENT OPPORTUNITIES?Another option involves associating your activity with an existing French company, either as a partnership or buyout.
- Investing in a company
- Lease management
- Buying out a company
- Acquiring a company as part of a liquidation procedure
- Creating a partnership (joint-venture)
To find out more about buyout and partnership opportunities in the Montpellier Agglomération area and Languedoc-Roussillon region, tell us about the type of company your are looking for (activity, size, intended investment, etc.) by clicking here.WOULD YOUR COMPANY LIKE TO GET A FEEL FOR THE FRENCH-EUROPEAN MARKET FIRST? You may choose to start by hiring a local representative or sales agent, or you may choose to open a representative office (also called a liaison office). Note that with these options you will not be able to issue invoices from France.
Whichever option works best for you, MIBI can provide you with a postal address and local telephone number, as a service offered by Montpellier Agglomération. Ask us about our domiciliation services. It is generally not necessary to obtain a business license when working with a liaison office. On the other hand, legislation does require you to obtain a business license if the office has a location of its own or if it will be hiring several employees in France. The representative declares his or her activity with URSSAF [the Social Security Contribution Collection Office] using an "EO" form and providing a copy of the work contract and hiring statement ("Déclaration Unique d'Embauche").
ARE YOU READY TO GIVE YOUR COMPANY A SOLID START IN FRANCE?Important note: In this case, you need to be incorporated as a company in your home country. Foreign companies run by individuals cannot create an establishment or subsidiary in France.
The easy way to create a branch officeEstablishing a branch office will enable you to setup your commercial activity. Directed by a local representative, the branch office acts as an agency working for company headquarters, without any particular formalities with respect to your internal power of decision. This option enables you to carry out all the activities of an industrial or commercial company. Two words of caution:
- The branch office is not legally independent and it engages the parent company's responsibility in all its actions. Thus, in case of financial difficulties, the branch office links the parent company directly and permanently with the payment of accumulated debts.
- A stable establishment with respect to fiscal legislation, the branch office is subject to corporate taxes as well as Value Added Tax ("TVA" in French). If you subsequently transform the branch office into a subsidiary, you must respect the legal formalities specific to business transfers, including any applicable tax liabilities.
Creating a subsidiary: a company under French lawYour subsidiary will be a new company with a corporate structure under French law. Advantages for investors:
- separation of property between the subsidiary and the parent company (no unlimited responsibility of the foreign company for debts incurred by the French structure, and vice-versa).
- The possibility to apply for public funding or tax considerations when setting up or expanding the subsidiary.
- The right to renew a commercial lease.
- The possibility to setup internal invoicing for sales and technical services, commissions, management fees, etc.
Diverse options for your legal structureIn order to create a branch office or subsidiary, you will need to choose one of the available types of legal structure. If you were hoping we could provide you with the ideal answer here in just a few lines, it's just not possible! There are many factors to take into consideration, such as which legal structure costs the least in taxes, how to protect your personal property, and much more. There is no single miracle structure. As it constitutes the legal framework for your future French company, the legal structure you choose must be adapted to your project (and not vice versa). You will find particularly valuable information regarding legal structure on the Agency for Business Creation (APCE) website. Our team can also help you see things more clearly. You may contact a legal specialist for more information.
Understanding the procedures required to actually create your company in France CHECK THE LEGAL PROCEDURES REQUIRED TO CREATE YOUR COMPANYAfter working out your funding and finding your location, you still have to:
1. Obtain a long-term visa, a work permit and a resident card when necessary.
2. Appoint managing corporate officers (for a subsidiary).
3. Set aside your share capital (for a subsidiary).
4. Begin the creation process with a visit to the Company Formalities Center ("Centre de Formalités des Entreprises, or CFE"). Your company only acquires its legal presence after it is officially declared in the Trade & Corporate Register ("Registre du commerce et des societies", or RCS). During your initial visit, you will receive the registration application form ("PO" for a single-person business - "MO" for a larger company). Call the CFE ahead of time to make sure you bring all the required documents with you. RCS registration for companies usually takes just a few days. With the filing receipt given to you by the CFE, which serves as proof of registration, your company-to-be may carry out other administrative tasks with both public- and private-sector organizations (such as opening a bank account).
As of June 1, 2009 , the filing cost for the administrative procedure to create a company was around 80 €. Filing can be handled on-line.
The CFE qualified to handle these matters is located at the:We will recommend the right contacts to save you time. Please contact us so we can help.
5. Elaborate corporate by-laws. Get help from a specialized lawyer for writing your corporate by-laws.
6. Assess capital contributions by a certified contribution agent (for a subsidiary).
7. Appoint a Statutory Auditor as necessary.
8. Open a bank account in France and deposit the required share capital for the company being created. We know the local banks very well and can introduce you to contacts who speak English. Please contact us.
9. Sign corporate by-laws ("statuts") in the presence of a certified notary public if the company owns property or buildings.
10. Publish an announcement regarding the creation of your company in a local publication of legal notices, such as la Gazette Economique et Culturelle, la Gazette, Le Midi Libre, l'Hérault Juridique et Economique (exhaustive list here). The cost for publication of legal notices is generally around 200 euros.
11. File your by-laws with the Tax Authority ("Centre des Impôts"), within 1 month after signature (free service). We can help you establish privileged contact. Contact us.
2. Appoint managing corporate officers (for a subsidiary).
3. Set aside your share capital (for a subsidiary).
4. Begin the creation process with a visit to the Company Formalities Center ("Centre de Formalités des Entreprises, or CFE"). Your company only acquires its legal presence after it is officially declared in the Trade & Corporate Register ("Registre du commerce et des societies", or RCS). During your initial visit, you will receive the registration application form ("PO" for a single-person business - "MO" for a larger company). Call the CFE ahead of time to make sure you bring all the required documents with you. RCS registration for companies usually takes just a few days. With the filing receipt given to you by the CFE, which serves as proof of registration, your company-to-be may carry out other administrative tasks with both public- and private-sector organizations (such as opening a bank account).
As of June 1, 2009 , the filing cost for the administrative procedure to create a company was around 80 €. Filing can be handled on-line.
The CFE qualified to handle these matters is located at the:
- Chamber of Commerce and Industry if your business involves trade, industry and services.
- Chambre de métiers [Trade Chamber] if your business involves crafts or is of the mixed type (crafts and trade).
- URSSAF [Social Security Contribution Collection Office] if you are a liberal professional.
- Commercial Court Clerk's Office if you want to carry out an activity as a sales representative.
- Chamber of Agriculture if your business involves farming.
- Tax Authority for other categories.
5. Elaborate corporate by-laws. Get help from a specialized lawyer for writing your corporate by-laws.
6. Assess capital contributions by a certified contribution agent (for a subsidiary).
7. Appoint a Statutory Auditor as necessary.
8. Open a bank account in France and deposit the required share capital for the company being created. We know the local banks very well and can introduce you to contacts who speak English. Please contact us.
9. Sign corporate by-laws ("statuts") in the presence of a certified notary public if the company owns property or buildings.
10. Publish an announcement regarding the creation of your company in a local publication of legal notices, such as la Gazette Economique et Culturelle, la Gazette, Le Midi Libre, l'Hérault Juridique et Economique (exhaustive list here). The cost for publication of legal notices is generally around 200 euros.
11. File your by-laws with the Tax Authority ("Centre des Impôts"), within 1 month after signature (free service). We can help you establish privileged contact. Contact us.
