First thing's first, you should obtain the right to work in France..  Anyone who plans to stay in France for more than 3 months is required to have a visa. It is called a “carte de séjour”. To get this long term stay visa, you have to apply for it before you come to France. Your nearest French Consulate will give you all the details for this bureaucratic but necessary process. You may also want to consult a lawyer. Many foreigners live in France without a visa, but if you want to set up a business, there is no way around it. 

Learning The Language

French people are well known around the world for not speaking good English, if at all.  For many reasons, this has improved over the years.  Every year, France welcomes more tourists than the number of its own population, and consequently the country has had to deal with language issue.  The youngsters, particularly through their studies, are travelling and staying abroad more, which makes speaking English a must.

My advice : learn French !  At least know the basics.  In Paris, there are many places to learn and practice. Schools, of course, to learn the basis of grammar, but also French-English conversations clubs, who organize sessions, events and evenings in nice and various places in the city.  It’s a great way to improve your language skills, meet French and foreign people, and discover cafés you can come back to.  EscapeArtist.com is the website to consult for finding out all about it.

Understanding The French Administration Culture

If you are American, you come from a culture where entrepreneurship is the norm.  Pioneering is the basis of the USA psyche, living the American Dream is ingrained in the culture;  business avant-garde skills and concepts nearly all come from this country.  So you may think that entrepreneurship is natural for all cultures around the world.  It is not.

Firstly, the freelance status is not crystal clear in France.  It is called “travailleur indépendant” and “entrepreneur individuel” by the Administration, but “profession libérale” in the civil sphere.  Also, although the travailleur indépendant is considered as a person, tax wise, and not as an entity, it is for other purposes considered as a company.  So public information, brochures, forms are all designed for companies, including freelance individuals, so that it makes the paperwork rather complicated for such a simple status, and not always appropriate.

Secondly, the French Administration loves red tape.  During the 20th century, the economy developed exponentially, with a huge need of salaried human resources. Since WW2, everything has been organized for and around the salaried workers, and the employer/employee relationship.

Making Choices Before Registering

One of the key actions to success is to get the information, and understand it, before setting up the business.  Some important decisions have to be made before even registering, because you will have to make certain choices at the moment of registration, which will have significant consequences on the amount of taxes and contribution you will pay, and the level of red tape you will have to handle all year long.For instance, in some tax schemes, you are not required to keep records other than a daily journal of income.  Can you imagine? No accounting, no complicated tax return, no accountant fee… But you have to know the existence of this scheme before you register, and explicitly state you want this one.  You need to know what criteria apply, to be eligible, and you thus need to make the appropriate decisions, some of which may change your original business plan. 

Another example is the code you choose for describing your business.  There is a nomenclature in France (APE), which lists all possible activities.  When a company is registered, the appropriate code has to be attached to it.  When you register, you will give that code.  Depending on that code, you will be linked to a Social Scheme.  In France, the numerous existing social schemes do not offer the same rights, and do not cost the same.  So your contributions may vary.  Also, you may or may not be eligible for the added value tax system.  Finally, insurance premiums could vary an some health insurance companies may not cover you.