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Starting a Business in France: A Step-by-step Guide (How to): A Step-by-step Guide (How to) PDF

234 Pages·2006·8.94 MB·English
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S t a r t i n g a B u s i n e s s in France This page intentionally left blank S t a r t i n g a B u s i n e s s in F r a n c e A S T E P - B Y - S T E P G U I D E ^^^^^^^^^^^^^^^^^B howtobooks Published by How To Content, A division of How To Books Ltd, Spring Hill House, Spring Hill Road, Begbroke, Oxford 0X5 1RX. United Kingdom. Tel: (01865) 375794. Fax: (01865) 379162. email: Contents Preface ix Acknowledgements xi PART 1: Seting Up the Busines 1 1 Al-important prior questions 3 Why start a busines in France? 3 What sort of busines do you want to start? 4 What name wil you choose for your business? 13 Where should you set up your busines? 14 When should you start your busines? 16 Understanding everything and being understood 16 2 Geting market research right 23 Reducing your risk through market research 23 Reading your market research report 26 Sourcing information on your market 27 Testing the marketplace 28 3 Forme juridique, social security and taxation 33 What formes juridiques are available? 34 El 36 Societes (companies) 39 EURL 40 SARL 41 Qualified professional people working together 42 SARL (or SA) SCOP 43 SCI 4 SAS 45 Social security and unemployment benefit 48 Taxation 52 Ir and is 52 V I / S T A R T I N G A B U S I N E S S I N F R A N C E Regime rel simplifie 53 Regime rel normal 54 Micro-entreprise 54 Declaration controle 54 Imposition for forfaitaire anuele 56 Why not register as a UK company? 58 4 What sort of busines plan? 59 Sumary 60 Presentation of the entrepreneur 61 Presentation of the product 61 Financial details 63 5 Advice, information, aid, grants and loans 71 Advice available 72 Information available 74 Aid available 76 European Union grants 84 Loans (and consultancy) 85 Regional loans 90 6 Private funds, bank loans, venture capital and leasing 94 Private funds 94 Banks 96 Venture capital 9 Leasing 101 7 Premises 104 Buying premises 104 The buying procedure 110 Renting premises 14 Bail commercial 15 Bailprecaire 19 Credit-bail 120 Working from home 121 Busines centres 123 C O N T E N T S / VII Les pepinieres d'entreprises 126 ZFU.ZRU and ZUS development areas 126 Business location checklist 128 Ofice layout, fitings and equipment 129 Broadband connection 131 8 Procedures 134 Registration formalities 135 9 Avoiding pitfals 139 Part 2: Running the business 149 10 The accounts and corespondence 151 Centres de gestions agrees 151 Accounting principles 154 Corespondence 156 11 Geting and keeping customers 158 Marketing 158 Websites 164 Prospecting and geting appointments 166 12 Employing people 169 Recruitment 170 Employment conditions 179 Employment benefits 183 Employment contracts 184 Employing husbands or wives 193 Redundancy and dismissals 195 Appendix 1 The administrative regions of France and their 201 departement divisions Appendix 2 Some false friends 205 Appendix 3 Approximate resale values for businesses 209 Index 215 This page intentionally left blank Preface 200,000 businesses on average are started every year in France and approximately 50 per cent of them fail or change their propri- etor or legal status during the critical first five years. The failure rate is a high proportion of this percentage. Motivation is cer- tainly not lacking as 300,000 salaried positions annually in the job market are not filled. Choosing to work for yourself, rather than having to, is the main motivation. INSEE (the national insti- tute for statistics and economic research) reveals that almost 60 per cent of unemployed people who start their own business already had this in mind when they were still in salaried employ- ment. Around a third of new businesses are created by the unemployed. Getting market research, finance, advice, short- and medium- term business development plans, administrative details and suitable initial legal structure for the business right are essential. All these elements are or can be different in France. The first part of this book covers these themes. Despite the easier administra- tive path created by Dutreuil's law in 2003, starting a business in France certainly remains more difficult than in the UK. The capi- talist economy is still heavily influenced and regulated by the state. English-speaking entrepreneurs with previous experience of starting and running a business in more liberal markets relatively free from state controls may find the French system frustrating. But they will have the risk-taking edge over French entrepreneurs starting up for the first time and who have no business experience

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