Should you consider beginning a business in France, here is a tip on the best way to begin and take it to the following level. Notwithstanding, a couple of things you should think about the status of the economy of France and its business condition; a short business history of France would progress nicely. France is probably the biggest nation in Europe and the European Union. It has been the focal point of convergence in Europe.
Its history has made it a leader in the region in terms of business and commerce. Due to the long historical activities, France has remained to be one of the foreign investment attractions in various sectors of business activities. The capital city of France is Paris which has been central in business development due to its dynamic cultural heritage and center for business.
France has several business opportunities for entrepreneurs and investors. For both foreigners and locals, starting a business or a company has never been a challenge since it is made simple and easy. The laws are flexible and friendly; the lawyers are more than ready to help you through the process of starting a business in the region. Starting a business in France is one of the best decisions you can make due to the business-friendly environment. The business environment has been improving making it advantageous based on the fact that France one of the best and most powerful destinations to start a venture. Below is a detailed process of starting and registering a company in France.
Sole Proprietorship Business Registration in France
Just like any other country in the world, France has got laws that govern the process of registering companies in its territories. However, the process will depend on the type of business you wish to engage in. The legal formalities of starting a company or a business in France are not lengthy and tedious as you may think. There are a few qualifications that you need to meet. The most crucial of the requirement is the documentation.
You will need personal identification documents like an Identity card issued by a government locally or internationally for non-nationals. For foreigners in France, they should first obtain a trading license to incorporate any type of business in the region. As you will witness, the formalities for a sole proprietorship are not lengthy, as compared to a company. There are different types of business entities that can be registered in France, concerning the type of companies; the following forms of business and company units are allowed as per the Commercial Law of France.
Formation of a Limited Liability Company (SARL)
A Limited liability company in France is also known as SARL, Foreign investors can opt for several structures of companies available in France; the most common formation of companies is SARL.
What is SARL?
French SARL is an abbreviation of Société à Responsabilité Limitée which means in English, Limited Liability Company. This formation is recommended for small to medium-sized firms and business entities in the region. Not to mention it is relatively easy to incorporate compare to the other legal forms.
French SARL Requirements
Before looking at the requirements to successfully qualify to form a company in France. The most important thing to note is that the regulations governing company formation in France apply uniformly to both the locals and foreign investors. One of the most important fulfillments is having a registered office space for the Company. This will be used to verify the physical address of the company. As for the foreigners wishing to set up a limited liability company in France, you will need the following;
The owners should present to the registrar of companies in France copies of both the Articles of association and the memorandum. This will help show proof of compliance of the new company and also for the France government to understand the motive and the intent of the company.
Several legal firms in France can help both local and foreign investors in designing and coming up with the documents needed for incorporating an entity. As for the address of the company, there is no stringent procedure while choosing the address. So long us the procedure fulfills the need for a physical location and where correspondence can be received and location for identification.
Capital Share Qualification
The Commercial Law there in France demands that the following has to be applicable by businesses in the region in terms of capital formation.