Q&A about setting up foreign-owned Limited Liability Company in France

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France Foreign-funded Limited Liability Company
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France – Organizational Structure of Foreign-funded Companies
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What are the types of Foreign-funded Companies in France?

1. Subsidiary: A subsidiary is a separate legal entity established by a foreign company in France. It is owned and controlled by the foreign parent company, which holds a majority stake in the subsidiary. Subsidiaries operate independently but are subject to the laws and regulations of France.
2. Branch (succursale): A branch is an extension of a foreign company in France. It does not have a separate legal entity from the parent company and operates under its name. The branch conducts business activities in France on behalf of the foreign company but is subject to French laws and regulations.
3. Joint Venture: A joint venture is a business entity formed by two or more companies, including at least one foreign company and one French company. Companies collaborate and share resources to pursue a specific project or venture. Joint ventures can be established as separate legal entities or contractual agreements.
4. Representative Office (bureau de représentation): A representative office is an office established by a foreign company in France for the purpose of market research, liaison, and promoting the parent company’s interests. Representative offices cannot engage in commercial activities and are not considered separate legal entities.
5. Limited Liability Company (SARL): A foreign company can establish a limited liability company in France. This legal structure provides limited liability protection to its shareholders. The company is subject to French regulations and can be wholly owned by the foreign company or in partnership with French shareholders.
6. Public Limited Company (SA): A foreign company can also establish a public limited company in France. This type of company allows for raising capital through public offerings of shares. The foreign company can be the majority shareholder or the sole shareholder of the SA.
   

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What are the procedures for setting up the Foreign-funded Limited Liability Company in France?

1. Choose a Name: Select a unique name for your company that complies with the French naming regulations. You can check the availability of the chosen name with the National Institute of Industrial Property (INPI).
2. Draft the Articles of Association: Prepare the articles of association (statuts) of your SARL. This document outlines the company’s internal rules, ownership structure, capital, management, and other important details. It should be drafted in compliance with French laws and regulations.
3. Appoint a Registered Agent: Appoint a registered agent (domiciliation agent) in France who will receive official correspondence and legal notices on behalf of the company.
4. Open a Bank Account: Open a bank account in France for the SARL. You will need to deposit the minimum required capital as specified by French law. The bank will provide a certificate of deposit.
5. Notarize the Articles of Association: The articles of association must be notarized by a French notary. The notary will authenticate the document and register it with the Commercial Court.
6. File the Registration Documents: Prepare and file the registration documents, including the notarized articles of association, with the competent Commercial Court in the jurisdiction where the company will be located. The required documents may include the application form, proof of deposit of capital, proof of address, and identity documents of shareholders.
7. Obtain a SIREN Number: After the registration is complete, you will receive a SIREN number, which is a unique identifier for your company in France. This number is necessary for various administrative and tax purposes.
8. Register with Relevant Authorities: Register your SARL with the appropriate authorities, such as the French Tax Administration, Social Security Office, and other relevant bodies, depending on your business activities.
9. Fulfill Additional Requirements: Depending on your specific business activities, you may need to fulfill additional requirements, such as obtaining licenses, permits, or specific authorizations.

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What are the requirements for holding a position of director, manager/ supervisor, company secretary, etc. in France’s foreign-funded companies?

1. Director (Administrateur):
   • Age and Legal Capacity: Directors must be at least 18 years old and have legal capacity.
   • Nationality: There are no nationality restrictions for directors in France, and foreign nationals can hold director positions.
   • Residency: There is no legal requirement for directors to be residents of France. However, practical considerations may arise regarding the ability to fulfill directorial duties effectively.
2. Manager/Supervisor (Gérant):
   • Appointment: Not mandatory.
   • Legal Capacity: Like directors, managers/supervisors must have legal capacity.
   • Age: The minimum age requirement for managers/supervisors is 18 years.
   • Nationality: There are no specific nationality requirements.
   • Residency: Managers/supervisors can be either French residents or non-residents.
3. Company Secretary (Secrétaire):
   • Appointment: Not mandatory.
   • Qualifications: There are no specific qualifications or professional requirements for the position of company secretary in France.
   • Nationality and Residency: There are no nationality or residency requirements for a company secretary in France.

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How long the share capital of a France Foreign-funded Limited Liability Company must be hold before it can be sold?

In France, there is no specific requirement regarding the duration for which the share capital of a foreign-funded limited liability company (LLC) must be held before it can be sold.
The shares of an LLC can generally be sold or transferred by the shareholders as per their discretion and subject to any restrictions or conditions outlined in the company’s articles of association or shareholders’ agreements.

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Is a Resident Shareholders required for incorporation of Foreign-funded Limited Liability Company in France?

No, having a resident shareholder is not a specific requirement for the incorporation of a foreign-funded limited liability company (LLC) in France.
The shareholders of an LLC can be individuals or legal entities, and they can be residents of France or any other country.

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Is a Resident Director required for incorporation of Foreign-funded Limited Liability Company in France?

No, it is not mandatory to have a resident director for the incorporation of a foreign-funded limited liability company (LLC) in France.
The law does not specifically require a director to be a resident of France.
Foreign investors can appoint directors who are either residents of France or non-residents.
There are no restrictions on the nationality or residency of the directors.
This provides flexibility for foreign investors to manage and operate their LLCs in France.

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Is there a company secretary required for incorporation of Foreign-funded Limited Liability Company in France?

In France, there is no specific requirement for a company secretary in the incorporation of a foreign-funded limited liability company (LLC).

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What are the qualifications of a legal representative in France Foreign-funded Limited Liability?
Can a foreigner act as a legal representative?
If yes, he/she need a place of residence in France?

In France, the legal representative of a foreign-funded limited liability company (LLC) is typically referred to as the “dirigeant” or “representant legal.”
The qualifications and requirements for a legal representative in a foreign-funded LLC are as follows:

1. Capacity: The legal representative must have legal capacity, which means they must be of legal age (18 years or older) and not be subject to any legal restrictions that would prevent them from acting as a company representative.
2. Authority: The legal representative has the authority to act on behalf of the company, make decisions, and enter into contracts and agreements on behalf of the LLC.
3. Designation: The legal representative is usually designated in the articles of association (statuts) of the company or through a specific appointment process as outlined in the company’s internal regulations.
   Yes, a foreigner can act as a legal representative in a foreign-funded LLC in France. There are no specific restrictions on the nationality or residency of the legal representative.
   They can be a foreign national or a foreign legal entity.
   Having a place of residence in France is not explicitly required for a foreigner to act as a legal representative.

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Is it possible to establish a France foreign-owned company through an offshore company as holding company?

Yes, it is possible to establish a France foreign-owned company through an offshore company acting as a holding company.
This is a common practice in international business and corporate structures.

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What are the special features of France wholly foreign-owned limited liability corporation (LLC)?

1. Ownership: A wholly foreign-owned LLC allows foreign investors to have full ownership and control of the company. There is no requirement for local participation or shareholding, enabling foreign investors to maintain complete ownership of the company.
2. Limited Liability: Like any other LLC, a wholly foreign-owned LLC in France offers limited liability protection to its shareholders. This means that the personal assets of shareholders are generally not at risk in the event of the company’s debts or obligations.
3. Flexibility in Structure: France provides flexibility in terms of the corporate structure of a wholly foreign-owned LLC. Foreign investors can choose between different types of entities, such as SARL or SAS, depending on their specific needs and preferences.
4. Capital Requirements: The capital requirements for a wholly foreign-owned LLC in France are relatively low. The minimum required capital depends on the chosen legal structure (SARL or SAS) and is determined by the shareholders.
5. Simplified Management: A wholly foreign-owned LLC in France can benefit from simplified management structures. In the case of a SAS, shareholders have the freedom to define the management structure, allowing for more flexibility in decision-making and governance.
6. Taxation: France offers a favorable tax regime for foreign investors, including a range of tax incentives and exemptions.

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France Foreign investment: permitted industries, restricted industries (licensed industries) and prohibited industries.
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Are France foreign-investment industries and products be listed in a positive or negative list?
Or are there different approaches for foreign investment from different countries?

In France, foreign investment is governed by the Foreign Investment Code (Code de la sécurité intérieure) and related regulations.
https://www.legifrance.gouv.fr/codes/texte_lc/LEGITEXT000025503132/
The regulations distinguish between two types of foreign investments: those subject to prior authorization and those subject to declaration.
There is no specific positive or negative list that categorizes industries or products for foreign investment.
France follows a non-discriminatory approach.
The same rules and regulations apply to all foreign investors, regardless of their country of origin.
However, the government may consider additional factors such as reciprocity and national economic interests in evaluating foreign investment proposals.

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In the positive list, what are the industries that foreign investment is allowed to invest in, which are the industries that are restricted for foreign investment (licensed industries), and the industries that are prohibited to invest in by foreign investment?
Will the positive list be different for different countries?

In France, there is no specific positive list that categorizes industries where foreign investment is allowed, restricted, or prohibited.
Instead, the regulations focus on sectors that are considered strategic or sensitive, which may require prior authorization for foreign investments.

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In the negative list, what are the industries that foreign investment is allowed to invest in, the industries that are restricted to foreign investment (licensed industries), and the industries that are not allowed to invest in foreign investment?
Will the negative list be different for different countries?

There is no specific “negative list” that categorizes industries as being allowed, restricted, or prohibited for foreign investment.
Foreign investments in those sectors would require a specific review and approval process, rather than being subject to a predetermined negative list.

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What are the restriction on foreign investment in France? For instance, what is the minimum share capital amount?
What are the rules for foreign shareholding ratio? Other?
Are they different for different countries?

In France, the regulations regarding foreign investment are primarily governed by the Foreign Investment Code (Code de la sécurité intérieure) and related legislation.
The restrictions on foreign investment can vary depending on the sector and specific circumstances.
Here are some key points to consider:

1. Minimum Share Capital: The minimum share capital requirement for a company in France varies depending on its legal form. For example, for a limited liability company (SARL or LLC), the minimum share capital requirement is €1.
2. Foreign Shareholding Ratio: In general, there are no specific restrictions on foreign shareholding ratios in France. Foreign investors are generally allowed to hold 100% ownership or a majority stake in a company. However, certain sectors, such as defense, energy, and telecommunications, may have specific regulations or restrictions on foreign ownership or control to safeguard national security interests.
3. Sector-Specific Regulations: Some sectors in France have specific regulations or restrictions on foreign investment. These sectors may require prior authorization or undergo a review process by relevant authorities. Sectors such as defense, energy, transportation, telecommunications, water, public health, and gambling are subject to additional scrutiny due to their strategic or sensitive nature.
4. National Security Review: Foreign investment proposals that raise national security concerns may undergo a specific review process by French authorities. This review aims to evaluate the impact of the investment on national security, defense interests, and critical infrastructure.

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What are the licensed industries in France?
What is the difference between the industries that allow foreign investment, the industries that restrict foreign investment (licensed industries), and the industries that do not allow foreign investment?

In France, there are certain industries that require prior authorization or licensing for both domestic and foreign investments.
These industries are often referred to as regulated or licensed industries.
The specific licensed industries can vary over time and are subject to changes in regulations.
Some examples of licensed industries in France may include:

1. Banking and Financial Services: The banking sector, insurance companies, and other financial institutions are subject to regulatory oversight and require specific licenses from the relevant authorities.
2. Defense and National Security: Industries related to defense, military equipment, and technologies may require special authorizations due to their sensitive nature and potential impact on national security.
3. Energy and Utilities: The energy sector, including electricity, gas, and renewable energy, often has specific regulations and licensing requirements.
4. Telecommunications and Broadcasting: Companies operating in the telecommunications, radio, television, and broadcasting sectors may require licenses or authorizations.
5. Pharmaceuticals and Healthcare: Industries related to pharmaceuticals, medical devices, healthcare facilities, and other healthcare services may have specific licensing requirements.
   Some general categories that describe the different types of industries in France with regards to foreign investment:
6. Open Industries: These are sectors where foreign investment is generally welcome and subject to standard regulations. Open industries encompass a wide range of sectors, including services, information technology, finance, retail, and many others. Foreign investors can freely invest and operate in these sectors, subject to compliance with applicable laws and regulations.
7. Restricted Industries: Certain sectors in France may have restrictions or specific regulations in place to control foreign investment. These restrictions aim to protect national interests, strategic assets, or sensitive industries. Restricted industries can include defense, telecommunications, energy, transportation, and sensitive technologies. In these sectors, foreign investment may be subject to prior authorization or approval from relevant authorities.
8. Prohibited Industries: Some sectors may be completely closed to foreign investment in order to protect national security, public health, or other vital interests. These industries typically involve areas such as defense, intelligence services, nuclear power, and certain sensitive infrastructure. Foreign investment is generally prohibited or heavily restricted in these sectors.

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France-Foreign-funded Limited Liability Company document certification.
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What are the relevant investment documents required to establish a Foreign-funded Limited Liability Company in France?
Are there different documents for different countries?

1. Articles of Association: Also known as the company’s bylaws, this document outlines the internal regulations and governance structure of the company. It includes information such as the company’s name, purpose, share capital, management structure, and other essential details.
2. Memorandum of Association: This document contains the shareholders’ agreement and their commitment to establish the company. It includes details about the shareholders, their respective contributions, and the distribution of shares.
3. Proof of Identity and Residence: The investors and company directors are typically required to provide proof of identity (such as passports) and proof of residence (such as utility bills or bank statements).
4. Certificate of Incorporation: This document certifies the legal existence of the company and is issued by the French Trade and Companies Register (Registre du Commerce et des Sociétés, RCS).
5. Bank Certificate: A certificate from a French bank confirming the deposit of the minimum share capital required for the LLC.
6. Power of Attorney: If the investors appoint representatives or attorneys to handle the company establishment process on their behalf, a power of attorney document is necessary.
7. Shareholder and Director Information: Detailed information about the shareholders and directors, including their names, addresses, nationalities, and copies of their identification documents.
8. Business Plan: A comprehensive business plan outlining the company’s objectives, market analysis, financial projections, and operational strategies.
9. Legal Compliance Documents: Depending on the nature of the business, additional compliance documents may be required, such as permits, licenses, or certifications.
   While the core investment documents remain similar, the specific requirements or supporting documents may vary depending on the country of origin of the investor.

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What are the procedures for the certification of documents related to the investment of Foreign-funded Limited Liability Company in France?
Are there different document authentication procedures for different countries?

1. Notarization: In many cases, the relevant investment documents, such as the Articles of Association and Memorandum of Association, need to be notarized in the investor’s home country. This involves having the documents certified by a notary public or an authorized official.
2. Legalization or Apostille: After notarization, the documents may need to be legalized or apostilled by the competent authority in the investor’s home country. The purpose of legalization or apostille is to verify the authenticity of the notarization and ensure its validity in France.
3. Translation: If the original documents are in a language other than French, they will need to be translated into French by a certified translator. The translation should accurately reflect the content of the original documents.
4. Consular or Embassy Authentication: Once the documents are notarized, legalized, and translated, they may require authentication from the French Consulate or Embassy in the investor’s home country. This step confirms the validity of the documents for use in France.
5. Filing with French Authorities: The authenticated and translated documents, along with other required forms and information, will be submitted to the relevant French authorities responsible for company registration, such as the French Trade and Companies Register (RCS).
   Different countries may have different requirements for notarization, legalization, apostille, and consular authentication.

R-fr-llc-4 France – Bank Account Opening of Foreign Subsidiaries
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What is the sequence steps of set up a Foreign-funded Limited Liability Company in France with share capital paid in place and opening a bank account? Which one should come first?

1. Reserve and Deposit Share Capital: The first step is to reserve and deposit the required share capital into a French bank account. This can be done by transferring the funds to a designated bank account for the company.
2. Obtain Bank Certificate: Once the share capital is deposited, you can request a bank certificate from the French bank. The bank certificate confirms that the share capital has been paid in and is available for use in the company formation process.
3. Prepare and Authenticate Investment Documents: While waiting for the bank certificate, you can work on preparing and authenticating the investment documents required for company registration. This includes notarizing, legalizing or apostilling, translating, and obtaining consular or embassy authentication for the necessary documents.
4. Submit Registration Documents: Once you have the bank certificate and the investment documents are ready, you can proceed to submit the registration documents to the relevant French authorities. This includes submitting the authenticated investment documents, along with the completed application forms, to the French Trade and Companies Register (RCS).
5. Company Registration: The registration process involves the review and approval of the submitted documents by the French authorities. Once the registration is completed, you will receive a certificate of incorporation, which confirms the legal establishment of your foreign-funded LLC in France.
6. Open Bank Account: After obtaining the certificate of incorporation, you can proceed to open a bank account for your company with the French bank. The bank will require you to provide the certificate of incorporation, identification documents, and other necessary information to fulfill their account opening requirements.

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What are the usual KYC regulations when opening a bank account with a Foreign-funded Limited Liability Company in France?

1. Company Information: The bank will require detailed information about the LLC, including its legal name, registered address, business activities, and ownership structure.
2. Certificate of Incorporation: The bank will request the certificate of incorporation, which confirms the legal establishment of the company.
3. Articles of Association and Memorandum of Association: These documents outline the internal regulations, purpose, and ownership structure of the company.
4. Shareholder and Director Information: The bank will need information about the shareholders and directors of the company, including their names, addresses, nationalities, and identification documents (such as passports or identity cards).
5. Proof of Address: The bank may require proof of address for the company, such as utility bills or lease agreements, to verify the registered address.
6. Bank Reference Letters: Some banks may request bank reference letters from the company’s existing bankers or professional contacts to establish the company’s financial history and reputation.
7. Beneficial Ownership Information: The bank may require information on the ultimate beneficial owners (UBOs) of the company, including individuals who directly or indirectly own a significant portion of the company’s shares or have significant control.
8. Business Plan and Financial Projections: The bank may ask for a business plan and financial projections to understand the company’s operations, revenue streams, and financial viability.
9. Identification and Address Proof of Signatories: The individuals authorized to operate the bank account on behalf of the company will need to provide their identification documents (passports or identity cards) and proof of address.

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Will the bank require a France local director when opening a bank account for a France wholly foreign-owned limited liability company (LLC)?

When opening a bank account for a wholly foreign-owned limited liability company (LLC) in France, the bank typically does not require a France local director.
However, it’s important to note that the specific requirements may vary between banks, and some banks may have their own policies in place.

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Will the bank require foreign legal representative have to be physically present for the bank interview, when opening a bank account with a Foreign-funded Limited Liability Company in France?

When opening a bank account with a foreign-funded limited liability company (LLC) in France, the bank may require the foreign legal representative to be physically present for the bank interview.
However, the specific requirements can vary between banks and their internal policies.

R-fr-llc-5 France – Staff Work Permit, Visa, and Residence
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Can a Foreign-funded Limited Liability Company in France send expatriates to France as the Investor’s role?
What are the application requirements, documents and procedures for the work permit, visa, and residence permit?
Are there differences in different countries?

Yes. Here are some general guidelines.

1. Work Permit (Autorisation de travail): Expatriates who will be employed by the French LLC may need to obtain a work permit. The specific type of work permit required will depend on factors such as the duration of stay, the nature of the work, and the nationality of the expatriate. The work permit is usually issued by the French Ministry of Labor.
2. Visa (Visa): Expatriates from certain countries may need to obtain a visa before entering France. The type of visa required will depend on the purpose and duration of stay. Common visa types include the Short-Stay Schengen Visa (for stays up to 90 days) and the Long-Stay Visa (for stays exceeding 90 days). The visa application is usually processed through the French consulate or embassy in the expatriate’s home country.
3. Residence Permit (Titre de séjour): For expatriates planning to stay in France for an extended period, a residence permit is typically required. The type of residence permit will depend on factors such as the duration of stay, the purpose of stay, and the expatriate’s circumstances. The residence permit application is usually submitted to the French prefecture (préfecture) or local town hall (mairie) once the expatriate is in France.
   Application requirements and procedures for work permits, visas, and residence permits, can indeed vary between countries.
   Each country has its own specific immigration laws, regulations, and procedures.

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Can a Foreign-funded Limited Liability Company in France send expatriates to France as the employee role?
What are the application requirements, documents and procedures for the work permit, visa, and residence permit?
Are there differences for different countries?

Yes. Here are some general guidelines.

1. Work Permit (Autorisation de travail): Expatriate employees who will be working in France typically require a work permit. The specific type of work permit depends on factors such as the duration of employment, the nature of the work, and the nationality of the employee. The work permit is usually issued by the French Ministry of Labor.
2. Visa (Visa): Expatriate employees from certain countries may need to obtain a visa before entering France. The type of visa required will depend on the purpose and duration of stay. Common visa types include the Short-Stay Schengen Visa (for stays up to 90 days) and the Long-Stay Visa (for stays exceeding 90 days). The visa application is usually processed through the French consulate or embassy in the employee’s home country.
3. Residence Permit (Titre de séjour): Expatriate employees planning to stay in France for an extended period typically require a residence permit. The type of residence permit will depend on factors such as the duration of employment, the purpose of stay, and the employee’s circumstances. The residence permit application is usually submitted to the French prefecture (préfecture) or local town hall (mairie) once the employee is in France.
   Application requirements and procedures for work permits, visas, and residence permits, can indeed vary between countries.
   Each country has its own specific immigration laws, regulations, and procedures.

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What are the evaluation factors or requirements for a Foreign-funded Limited Liability Company in France when applying work permit, visa, and residence permit?
What is the relationship with the salary, capital, and turnover of Foreign-funded Limited Liability Company?
Are there differences for different countries?

1. Job Offer: A permanent employment contract or a fixed-term employment contract for at least 3 months (for qualified employees) or at least 12 months (for highly skilled employees) with an employer established in France.
2. Qualifications and Experience: A qualification equivalent to a master’s degree obtained in France (for qualified employees) or at least 3 years’ higher education (for highly skilled employees).
3. Salary: The salary offered to the expatriate employee should meet at least twice the statutory national minimum wage (SMIC) requirements, i.e. Euro 41,933 for qualified employees or Euro 53,836.50 for highly skilled employees as of 1 May 2023.
4. Capital and Turnover: The financial stability and resources of the Foreign-funded LLC may be considered, including its capital investment, turnover, and ability to support the employment of expatriate workers.
5. Labor Market Conditions: The labor market conditions in France, including the demand and availability of local talent, may also be taken into account during the evaluation process.
   The relationship between salary, capital, turnover, and the evaluation process can vary depending on the specific circumstances and policies.
   Higher salary levels and the stronger financial standing of the company may positively influence the evaluation process.
   However, the exact requirements and evaluation factors can differ for different countries of origin, as each country has its own specific immigration laws, regulations, and criteria.
   

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   https://www.welcometofrance.com/en/fiche/fact-sheet-employee-hired-by-french-company#:~:text=Gross%20annual%20pay%20of%20at%20least%20twice%20the%20statutory%20national,master’s%20degree%20obtained%20in%20France.

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France- Registered Address and Operating Address of Foreign-funded Limited Liability Company in France.
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What are the regulations on the registered address during the company registration and future operating address of a Foreign-funded Limited Liability Company in France?

1. Registered Address: The registered address is the official address of the LLC and is recorded in the company’s registration documents.
   • The registered address must be a physical address and cannot be a post office box.
   • It must be a valid address where the company can receive official correspondence and notices from authorities.
   • The registered address can be commercial or residential property, but it must be legally allowed to be used as a business address.
2. Operating Address: The operating address is the location where the LLC conducts its day-to-day business activities.
   • The operating address can be the same as the registered address or a different location within France.
   • If the operating address is different from the registered address, it must also be a valid physical address where the company carries out its business operations.
   • The operating address should be suitable for the nature of the business and comply with any local zoning or licensing requirements.

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What are the specific regulations or requirements of a registered office address for a permitted industry of an LLC in France?

1. Physical Address: The registered office address must be a physical address and cannot be a post office box or a virtual office address.
2. Legal Use: The address must be legally permitted to be used as a business or commercial address. It should comply with local zoning regulations and be suitable for conducting business activities.
3. Accessibility: The registered office address should be accessible to authorities and stakeholders. It should allow for the receipt of official correspondence, notices, and legal documents related to the company.
4. Notification Obligations: The company is required to inform the relevant authorities, such as the Commercial Court and the Registry of Trade and Companies, of any change in the registered office address within a specified time frame.
5. Documentation: During the company registration process, the registered office address needs to be provided along with supporting documentation, such as a lease agreement or property ownership documents, to establish the legality and availability of the address.

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Amount of investment, registered capital, and government fees for Foreign-funded Limited Liability Company in France.
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Are there any regulations on authorized share capital, registered share capital and paid-up share capital of a Foreign-funded Limited Liability Company in France?
Is there any requirement for minimum funds to be in place within a certain period?

The minimum possible capitalization is Euro 1, monetary contributions must be fully subscribed to and at least one-fifth of the value must be paid.
The rest is due within five years of the date of the company’s registration with the Commercial and Corporate Registry (RCS).

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What is the relation between government fees with authorized share capital, registered share capital, and paid-up share capital of a Foreign-funded Limited Liability Company in France?

When incorporating an LLC in France, there are government fees and charges associated with the registration process.
These fees are payable to the relevant authorities and cover the administrative costs of registering with the company.
The government fees may be calculated based on the authorized share capital or the initial subscription amount declared in the company’s articles of association.

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Application of Certificate Number for a Foreign-funded Limited Liability Company in France

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What are the company certificate numbers needed to apply with the relevant legal entities for a foreign-funded Limited Liability Company in France?

1. SIREN Number: The SIREN number is a unique 9-digit identification number assigned to companies registered in France. It is issued by the National Institute of Statistics and Economic Studies (INSEE) upon the company’s registration. The SIREN number is used for various administrative and statistical purposes.
2. SIRET Number: The SIRET number is a 14-digit identification number that consists of the company’s SIREN number followed by a 5-digit establishment code. It is also issued by INSEE and serves to identify the specific establishment or branch of a company.
3. RCS Number: The RCS (Registre du Commerce et des Sociétés) number is the registration number of the company in the Registry of Trade and Companies. It is assigned by the Commercial Court at the time of the company’s registration. The RCS number is used for legal and commercial purposes and is often requested when dealing with official authorities or business partners.

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What are the certificate application for the Foreign-funded Limited Liability Company in France as a tax entity?

1. SIREN and SIRET Registration: The company needs to register with the National Institute of Statistics and Economic Studies (INSEE) to obtain its SIREN and SIRET numbers. These registration certificates serve as identification for tax purposes.
2. VAT Registration: If the LLC engages in taxable activities, it may need to apply for a Value Added Tax (VAT) registration certificate. This certificate allows the company to collect and remit VAT on its sales or services.
3. Tax Identification Number (TIN): The company will be assigned a Tax Identification Number by the French tax authorities. This number is used to identify the LLC for tax-related matters.

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What are the certificate application for Foreign-funded Limited Liability Company in France in relation to withholding tax on salary and employee benefits?

1. Employer Identification Number (EIN): The LLC needs to obtain an Employer Identification Number, also known as the SIRET number, from the National Institute of Statistics and Economic Studies (INSEE). This number is used to identify the company as an employer for tax and social security purposes.
2. Tax Withholding Declaration (DAS): The LLC is required to submit a monthly or quarterly tax withholding declaration (Déclaration Annuelle des Salaires or DAS) to the tax authorities. This declaration provides information on employee salaries, benefits, and the taxes withheld from employees’ wages.
3. Tax at Source (Prélèvement à la Source) Registration: The LLC needs to register for the Tax at Source system, which requires the company to withhold and remit income tax directly from employee salaries. This registration ensures compliance with the French tax withholding obligations.
4. Social Security Contributions: The LLC must register with the relevant social security authorities and obtain a social security identification number (Numéro d’Immatriculation au Régime Général). This number is used for the declaration and payment of social security contributions on behalf of the employees.

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What are the other independent certificate numbers or application, or declaration related to the government’s jurisdiction for Foreign-funded Limited Liability Company in France?

1. Professional License: Certain industries or professions in France require specific professional licenses or permits. For example, if the LLC operates in a regulated industry such as finance, healthcare, or transportation, it may need to obtain industry-specific licenses or permits from the relevant authorities.
2. Environmental Permits: Depending on the nature of the company’s activities, there may be requirements to obtain environmental permits or authorizations. These permits ensure compliance with environmental regulations and may be necessary for specific industries or projects that have an impact on the environment.
3. Data Protection Registration: If the LLC processes personal data, it may need to register with the French data protection authority (CNIL – Commission nationale de l’informatique et des libertés) and obtain a data protection registration number. This is particularly relevant under the General Data Protection Regulation (GDPR).
4. Trade or Professional Association Memberships: In certain industries, membership in trade or professional associations may be required or recommended. These associations may have their own membership requirements and may issue certificates or membership numbers.

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To summarize: Which of the following certificate numbers do Foreign-funded Limited Liability Company in France need to apply for?

National (federal) company certificate number, provincial (state) company certificate number, national (federal) tax certificate number, provincial (state) tax certificate number, national value-added tax certificate number, provincial (state) value-added tax certificate number, social insurance card number, medical insurance card number, pension certificate number, other funds such as housing fund certificate number, labor union certificate number, import and export certificate number, and franchise industry certificate number.

1. National (Federal) Company Certificate Number: This is the SIREN number, obtained from the National Institute of Statistics and Economic Studies (INSEE).
2. Provincial (State) Company Certificate Number: In France, there is no specific provincial or state-level company certificate number. The SIREN number serves as the national company identification.
3. National (Federal) Tax Certificate Number: This is the Tax Identification Number (TIN) assigned by the French tax authorities.
4. Provincial (State) Tax Certificate Number: In France, there is no specific provincial or state-level tax certificate number. The TIN covers the entire country.
5. National Value-Added Tax (VAT) Certificate Number: This is the VAT registration number obtained when registering for VAT with the tax authorities.
6. Provincial (State) Value-Added Tax (VAT) Certificate Number: In France, there is no specific provincial or state-level VAT certificate number. The VAT registration is national.
7. Social Insurance Card Number: This is the social security identification number (Numéro d’Immatriculation au Régime Général) obtained when registering with the relevant social security authorities.
8. Medical Insurance Card Number: In France, individuals are issued a Carte Vitale, which contains the individual’s medical insurance information. Companies do not have a specific medical insurance card number.
9. Pension Certificate Number: Companies in France do not typically have a separate pension certificate number. The payment of pensions is usually handled through the social security system.
10. Other Funds such as Housing Fund Certificate Number: The certificate numbers for other funds, such as housing fund or labor union, will depend on the specific requirements of those funds or organizations. Each may have its own unique identification numbers.
11. Import and Export Certificate Number: If the LLC engages in import and export activities, it may need to obtain an import and export certificate number. This number will be issued by the relevant customs authorities.
12. Franchise Industry Certificate Number: If the LLC operates in a franchise industry, it may require a specific franchise industry certificate number or authorization. The requirements will vary depending on the industry and the applicable regulations.

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Incorporation procedures of France-Foreign-funded Limited Liability Company and key matters
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What are the procedures of setting up a Foreign-funded Limited Liability Company in France? Documents required? Competent Government unit? Websites?

1. Business Plan: Prepare a detailed business plan outlining the company’s objectives, activities, market analysis, financial projections, and other relevant information.
2. Choose a Company Name: Select a unique company name that complies with French naming conventions and does not infringe on existing trademarks or business names.
3. Notary Public: Engage a notary public in France to assist with the company formation process. The notary will guide you through the legal requirements and prepare the necessary documents.
4. Shareholders’ Agreement: Draft a shareholders’ agreement specifying the rights and obligations of the company’s shareholders.
5. Capital Contribution: Determine the amount of share capital to be contributed by the shareholders and establish a bank account to deposit the capital.
6. Document Preparation: Prepare the required documents, including Articles of Association (Statuts), a share subscription form, proof of identity for shareholders and directors, and any additional documents requested by the notary.
7. Notarization and Registration: Sign the Articles of Association before a notary public and complete the registration process at the Commercial Court (Tribunal de Commerce) or the relevant regional authority.
8. Obtain Company Certificates: Once registered, obtain the necessary company certificates, such as the SIREN and SIRET numbers from the National Institute of Statistics and Economic Studies (INSEE).
9. Tax Registration: Register for taxation purposes with the French tax authorities, obtain a tax identification number (TIN), and register for value-added tax (VAT) if applicable.
10. Social Security Registration: Register the company and employees with the social security authorities (URSSAF) for social security contributions.

The competent government units involved in the process include the Commercial Court (Tribunal de Commerce) and the National Institute of Statistics and Economic Studies (INSEE).

Additionally, the French tax authorities and social security authorities play a role in tax and social security registrations.

The websites of these government entities and relevant resources for setting up a company in France are as follows:

1. Commercial Court: www.infogreffe.fr  
2. National Institute of Statistics and Economic Studies (INSEE): www.insee.fr
3. French Tax Authorities: www.impots.gouv.fr
4. French Social Security Authorities (URSSAF): www.urssaf.fr
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What are key consideration matters of when deciding to set up foreign-funded limited liability company in France?

1. Market Opportunities: Assess the market potential and opportunities in France for your products or services. Consider factors such as customer demand, competition, and market trends.
2. Legal and Regulatory Environment: Understand the legal and regulatory framework in France, including company law, labor law, tax regulations, and any industry-specific regulations that may apply to your business.
3. Business Strategy and Objectives: Define your business strategy and objectives for entering the French market. Determine the role of the LLC in your overall global business strategy and how it aligns with your expansion plans.
4. Financial Considerations: Evaluate the financial implications of setting up an LLC in France, including startup costs, ongoing operational expenses, taxation, and funding requirements. Consider the availability of financial resources and potential return on investment.
5. Human Resources and Labor Market: Assess the availability of skilled labor, labor costs, employment regulations, and any specific labor market considerations in France that may impact your ability to recruit and retain talent.
6. Taxation and Fiscal Incentives: Understand the tax system in France, including corporate taxes, value-added tax (VAT), and any available fiscal incentives or exemptions that may apply to your business.
7. Location and Infrastructure: Consider the optimal location for your LLC in terms of proximity to customers, suppliers, transportation hubs, and access to necessary infrastructure and facilities.
8. Competitive Landscape: Evaluate the competitive landscape in your industry sector in France, including existing competitors, market saturation, and potential barriers to entry.
9. Supportive Ecosystem: Assess the availability of business support services, such as legal, accounting, and consulting firms, as well as government initiatives or programs that can provide assistance to foreign companies.

Risk and Compliance: Consider the potential risks and compliance requirements associated with operating a business in France, including intellectual property protection, data privacy regulations, and any industry-specific regulations.

Contact Us

Paris Evershine BPO Service Limited Corp.
Email: par4ww@evershinecpa.com
Manager Zhu, speak in French English and Chinese

or
For investment structure relevant with multi-national tax planning and Financial & Legal Due Diligence for M&A (Merge and Acquisition), email to HQ4par@evershinecpa.com
Dale Chen, Principal Partner/CPA in Taiwan+China+UK will be accountable to your case.
linkedin address: Dale Chen

Additional Information

Evershine has 100% affiliates in the following cities:
Headquarter, Taipei, Xiamen, Beijing, Shanghai,
New York, San Francisco, Houston, Phoenix
Tokyo, Seoul, Hanoi, Ho Chi Minh, Bangkok,
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Other cities with existent clients:
Miami, Atlanta, Oklahoma, Michigan, Seattle, Delaware;
Berlin, Stuttgart; Prague; Czech Republic; Bangalore; Surabaya;
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Evershine Potential Serviceable City (2 months preparatory period):
Evershine CPAs Firm is an IAPA member firm headquartered in London, with 300 member offices worldwide and approximately 10,000 employees.
Evershine CPAs Firm is a LEA member headquartered in Chicago, USA, it has 600 member offices worldwide and employs approximately 28,000 people.
Besides, Evershine is Taiwan local Partner of ADP Streamline ®.
(version: 2022/03)

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