Company formation in France does not require the owners to travel: a company is registered electronically with the Trade and Companies Register (RCS) through the French public service portal. What decides whether the structure works is not registration but the physical presence of the registered office in France, the paying-in of share capital into a blocked account, the identity checks on directors and beneficial owners, the source-of-funds and business-plan documents the bank asks for, the 25% standard corporate tax rate and how the company is treated in the shareholders’ country.
Company formation in France: which structure is right for you?
For most foreign investors, company formation in France comes down to a choice between a simplified joint-stock company (SAS) and a limited liability company (SARL). An SAS has no statutory minimum capital, may have one or more shareholders and may be held entirely by a foreign owner. An SARL may have up to 100 shareholders and is managed by at least one manager (gérant). A public limited company (SA) is used for public offerings and large capital raising, with a statutory minimum of EUR 37,000. A foreign parent may open a French branch (succursale), which forms part of the parent’s legal personality. The choice depends on the activity, whether the owners are individuals or companies and how much capital is needed.
Shareholders’ liability is limited to the capital they undertake to contribute. The share capital amount is set in the articles of association. A single-shareholder SAS is called an SASU.
- No minimum capital; at least 50% is paid up at formation
- The president may be a natural or legal person
- A legal entity may be a shareholder
Up to 100 shareholders may hold shares. The company is managed by one or more managers (gérants); each shareholder’s share of the capital defines their stake.
- No minimum capital; at least 20% is paid up at formation
- A single-shareholder company is called an EURL
- No nationality or residence requirement for the manager
Share capital is divided into shares. Management follows a board of directors or a management and supervisory board structure.
- Minimum capital EUR 37,000; at least 50% is paid up at formation
- Fuller corporate governance and reporting obligations
- Separate rules apply to public offerings
A foreign parent may also open a French branch (succursale). A branch is part of the parent’s legal personality; it must be registered with the RCS within one month of opening, and its profit is taxed in France. A representative office (bureau de représentation) that carries on no commercial activity may not trigger the same registration and tax result; its scope is assessed on the nature of the activity.
How does company formation in France work, step by step?
The sequence for company formation in France is set out below. Formation is coordinated: a document list is issued, the articles of association and the formation resolutions are prepared, the share capital is paid in, the RCS filing is made and the bank opening is supported. Company formation in France is filed electronically; the extract from the register (Kbis) confirms the company’s legal existence and the registration date.
- Week 1Name, activity and structureThe company name, the business activity and the structure (SAS, SARL or SA) are settled. Shareholders, the manager and the registered office are confirmed. The registered office must be a real address in France.
- Weeks 1–2Identity documentsIndividual shareholders and the manager provide a passport and proof of address. For a corporate shareholder, the registry extract, board resolution and authority documents are apostilled and translated into French. France is a party to the Hague Apostille Convention.
- Weeks 1–2Articles and capital paymentThe articles of association are prepared and signed. Share capital is paid into a blocked account at a bank or notary, and the deposit certificate is added to the filing. At formation at least 50% of the capital of an SAS or SA, and at least 20% of an SARL, must be paid; the balance is due within five years.
- Week 2Announcement and RCS registrationThe formation is announced in an authorised legal gazette (annonce légale). The registration is filed electronically through the INPI single online window (guichet unique), and the extract from the register (Kbis) is issued.
- After registrationTax and social security registrationThe company receives its business identification numbers (SIREN and SIRET), a VAT regime is chosen, and if employees will be engaged, the employer registers with the social security body URSSAF.
- After registrationBank account and beneficial owner declarationThe bank opens the operating account on the basis of the Kbis and the articles; bank timing varies and is often the longest item in the formation. Beneficial owners holding more than 25% of capital or voting rights are declared to the register of beneficial owners (RBE).
Is a local owner, local manager or registered office service required?
No. Company formation in France needs no local owner; a foreign owner may hold 100% of the shares. An SAS, SARL or SA needs no manager with French nationality or residence. The only mandatory local element is a registered office that is a real address in France. The address may be provided through a domiciliation service, but a post-office box is not accepted. Company formation in France does not change the right-to-work rules for employees, and being a manager does not give a right to work: if the manager will work in France, the appropriate permit is needed.
Capital, address and beneficial owners
Company formation in France has no statutory minimum capital for an SAS or SARL; the amount is set in the articles. The minimum for a public limited company is EUR 37,000. The law requires a share of the capital to be paid at formation (at least 50% for SAS and SA, at least 20% for SARL), with the balance within five years. The funds are held in a blocked account until registration. Company formation in France cannot be completed without the deposit certificate. Beneficial owners, meaning persons holding more than 25% of capital or voting rights, are declared to the French register of beneficial owners; access to that register is restricted by law.
What does company formation in France cost?
The table below gives an indicative cost for company formation in France for a single-shareholder SAS (euros). Official fees follow the registry tariff in force and should be checked against it at the time of filing; the real cost lies in the registered office, accounting and banking work. A service quote sets the scope for company formation in France.
| Item | Amount (EUR) |
|---|---|
| Trade and Companies Register (RCS) registration, registry fee | per official tariff |
| Beneficial owner declaration (RBE) | per official tariff |
| Legal announcement (annonce légale) | varies by gazette and department |
| Registered office (domiciliation), annual | service quote |
| Apostille and French translation | depends on the number of documents |
| Accounting, annual accounts and corporation tax return | service quote |
| Total formation cost (capital excluded, official fees included) | service quote |
After formation: tax, accounting and invoicing
Corporate income tax. Company formation in France brings a standard rate of 25% on profits. A reduced rate of 15% applies to the first EUR 42,500 of profit for companies with turnover up to EUR 10 million, provided that the share capital is fully paid up and at least 75% held by individuals (or by a company meeting the same condition). Turnover is measured across the group that holds the company. The part of the corporate tax due above EUR 763,000 bears an additional 3.3% social contribution.
Dividends, interest and royalties. The domestic rate on dividends paid to a non-resident company is 25%. Dividends paid to an EU parent holding at least 10% of the capital for at least two years are exempt under the parent-subsidiary directive, and a double tax treaty may reduce the rate. Interest paid to non-residents generally bears no withholding tax, but payments to persons in non-cooperative states and territories are subject to 75%. Royalties paid to non-residents are subject to 25% domestically, which may be reduced by treaty or, between associated EU companies, eliminated under the conditions of the directive.
Value added tax. The standard rate is 20%, with an intermediate rate of 10%, a reduced rate of 5.5% and a super-reduced rate of 2.1%. The VAT franchise thresholds have been the subject of legislative proposals in recent years; the figure for 2026 is not stated here and should be confirmed against the official source before registration. Returns are filed monthly or quarterly, depending on turnover and the regime chosen.
Accounts and filing. Annual accounts are approved within six months of the financial year end and filed with the RCS within one month of approval. The corporate tax return (form 2065 and its annexes) is due within three months of the year end; for a 31 December year end it is due on the second working day after 1 May. Corporate tax is paid in quarterly instalments (15 March, 15 June, 15 September and 15 December), and no instalments are due where the annual tax is below EUR 3,000.
Invoicing. Invoices must meet French VAT rules and show the required details; company formation in France does not change this obligation. Services bought from abroad may fall under the reverse charge (autoliquidation), in which case VAT is declared separately.
- After registration: SIREN and SIRET numbers, VAT regime selection
- Monthly or quarterly: VAT return
- Every month: social security declaration (DSN) and payroll reporting
- 15 March, 15 June, 15 September, 15 December: corporate tax instalments (where the annual tax is EUR 3,000 or more)
- Within 6 months of year end: approval of annual accounts
- Within 1 month of approval: filing of annual accounts with the RCS
- Within 3 months of year end: corporate tax return (for 31 December year ends, the second working day after 1 May)
Work permits and employer obligations
Company formation in France gives the manager no automatic right to work. A non-EU employee generally needs a residence permit (titre de séjour) that authorises employment, and in many cases a work authorisation requested by the employer; occupation lists and salary conditions are updated from time to time and should be checked against the official source before an application. Short business visits and visitor visas do not allow work.
Employer obligations for company formation in France include checking the right to work before employment starts, monthly social security declarations (DSN) and payroll reporting, and applying the minimum wage. From 1 January 2026 the statutory minimum wage (SMIC) is EUR 12.02 gross per hour; from 1 June 2026 it rose by 2.41% to EUR 12.31 gross per hour. Employer social contributions depend on the salary and the employer’s accident risk rate. Under the general regime for 2026, the employer rate for health insurance is 13%, old-age insurance is 8.55% up to the ceiling and 2.11% on total salary, family allowances are 5.25% and unemployment insurance is 4%. A general and decreasing reduction (RGDU) applies to lower salaries.
The shareholders’ country: the points that decide the outcome
France has double tax treaties with many countries. A treaty allocates taxing rights; residence, controlled foreign company rules and the taxation of dividends are determined by the shareholders’ country under its own law. Each point below rests on facts to settle before formation. Company formation in France is therefore assessed together with the shareholders’ country.
- Residence and place of management. A company whose registered office is in France is French-resident. If its decisions are taken in another country, the shareholders’ country may also treat it as resident, and the treaty’s tie-breaker rule, based on the place of effective management, decides. A registered address does not answer this question on its own; a real board in France, decision records and actual presence are the defence.
- Two sides of the 15% and 25% rates. The reduced 15% band lowers the effective burden for small profitable companies, but it applies only under the 75% individual ownership condition, which a foreign corporate shareholder may not meet. Participation exemptions and minimum-tax conditions in the shareholders’ country are assessed on the effective French burden, and results can change in loss years or low-profit years. The choice should be made on the total burden in both countries.
- Foreign investment review and banking. In some sensitive sectors, a prior authorisation may be required before a non-EU investor acquires control. Banks examine the identity of beneficial owners, the source of funds and the consistency of the business plan; payments from the shareholders’ country fall within this review, so the documents should be prepared from the outset.
Frequently asked questions
Do I need to travel to France for company formation in France?
Not for registration: identity checks and the filing are completed electronically. Banks often ask the director for a video or in-person meeting, so a visit can shorten the account opening.
Is a local owner or local manager required for company formation in France?
No. A foreign owner may hold the whole company, and the manager may be of any nationality. The only mandatory local element is a registered office that is a real address in France.
What is the minimum capital for company formation in France?
An SAS and an SARL have no statutory minimum capital; the amount is set in the articles. A public limited company (SA) must have at least EUR 37,000 of share capital, with at least half paid up at formation.
Can a company, rather than an individual, be the shareholder?
Yes. The corporate shareholder’s registry extract, board resolution and authority documents are apostilled, since France is a party to the Hague Apostille Convention, and filed with a French translation. The bank may ask for further documents, which is confirmed at the outset.
Can a domiciliation service be used as the registered office?
Yes, under a domiciliation agreement, provided the address is a real place in France. A post-office box is not accepted, and the provider’s terms for receiving official post and for registration are checked at the outset.
OzbekCPA advises investors and companies from around the world on company formation in France: structure and tax impact, apostille and translation of documents, design of intra-group agreements, and assessment of the structure in the shareholders’ country. For an assessment based on your activity and shareholding, please contact us. Related articles: Company Formation in Romania · Company Formation in Poland · Company Formation in the Netherlands.
