International Students: Business Opportunities In France

France is an attractive destination for investors, business creators, managers, and foreign executives. Anyone can set up a business in France, regardless of nationality, and there are many statutes, assistance programs, and specialized structures to help students and graduates start a company in France. However, the type of residence permit and visa required to start a business in France varies depending on the individual's nationality, the nature of the business, and the role of the individual in the company.

Student visa requirements

To study in France, international students need to apply for a French student visa. The type of visa depends on the duration of the course. For a training course exceeding three months, you will need a temporary long-stay visa, while a course exceeding six months will require a long-stay visa equivalent to a residence permit. The latter is subject to further formalities upon arrival in France. The visa fee is typically €99, but some special cases may have different rates.

Before applying for a student visa, you must first gain acceptance into a higher education institution in France. As part of your visa application, you will need to provide a certificate of enrolment from the institution. Additionally, you must provide a temporary address for the first three months of your stay or your permanent address if you have already secured accommodation.

It is recommended to initiate the visa application process early, as it can be time-consuming and may involve multiple steps. The application can be completed online via the France-Visas website, and students are advised to refer to the checklists provided by France-Visas or VFS to ensure they have all the required documents. These checklists may include additional documents not mentioned in the standard requirements.

While some student visas may allow you to start a business alongside your studies, this option must be explicitly mentioned on your visa. If it is not, you will need to update your visa accordingly. It is essential to have the correct visa before registering your business, as not all visas permit business activities.

Residence permits

International students in France can apply for a residence permit, which is essential if they plan to stay in the country long-term or start a business. Here is some detailed information on the various types of residence permits available:

Student Residence Permits

International students in France are typically issued a "student" residence permit, which allows them to pursue their studies and, in some cases, work part-time. This permit is usually valid for the duration of their studies and may allow for part-time work. The "student – mobility programme" residence permit, for instance, enables students to study in France for up to 12 months while enrolled in an EU or multilateral programme.

Temporary Residence Permits

After completing their studies, international students can apply for a Temporary Residence Permit, known as "Autorisation Provisoire de Séjour" (APS). This permit allows graduates to stay in France for one additional year to seek employment or start a company. To be eligible, students must have a Licence Professionelle (vocational degree) or a Master's-level degree (or equivalent). During this period, they are authorized to work under the same conditions as students, up to a maximum of 20 hours per week.

Entrepreneur/Professional Residence Permits

For those looking to start a business in France, the "Entrepreneur/Professional" residence permit is the most suitable option. Before arriving in France, individuals must apply for a long-stay visa as a residence permit (VLS-TS) marked Entrepreneur/Professional. This visa allows them to enter France, reside there, and work on their company creation project for one year. After establishing their business, they can apply for a residence permit as an entrepreneur or professional.

Other Residence Permits

France offers several other residence permits that may be relevant depending on individual circumstances:

• Private and Family Life Visa: This visa allows individuals to take advantage of personal and family ties in France. It is applicable if you are married to a French national, have French parents, or have family members residing in France. It is easy to obtain and authorizes any professional activity, whether as an employee or self-employed.
• Talent Passport: This permit is for highly qualified employees, qualified employees, employees in young innovative companies, investors, company directors, business creators, or innovative economic project holders.
• Retirement Visa: This visa is for individuals who wish to settle in France and reside there primarily during their retirement.
• Freelance Entrepreneur Visa: This temporary residence permit is for those who have created a company or developed an unpaid activity and can prove its viability.

Business plan and registration

To start a business in France, you will need to create a business plan and register your business.

Business Plan

A business plan is essential when starting a business in France. It allows you to clarify your mission statement and vision and helps you show investors and the French business bank account manager how your business will run. Your business plan should be translated into French and should include the following:

• Your market and customers in France
• The amount of money you or your partners will invest
• Your business experience
• Your projected revenue and expenses for the next few years

Registration

To register your business, you will need to obtain the appropriate visas and permits. The specific requirements may vary depending on your nationality, residence status, and the nature of your business. Here are some key considerations:

• Visa: Different types of visas are available for starting a business in France, such as the "visa compétences et talents" or "visa commercant." Ensure that your visa allows you to start and run a business. You can apply for the visa that best suits your situation.
• Residence Permit: Depending on your circumstances, you may need to obtain a residence permit. For example, the "Carte de séjour vie privée et familiale" is applicable if you have personal or family ties in France. If you are an entrepreneur or starting a business, you may need a "carte de séjour temporaire mention entrepreneur-profession libérale" (temporary freelance-entrepreneur residency permit).
• Supporting Documents: When applying for your visa or residence permit, you will need to provide various supporting documents. These may include proof of financial resources, business plan, proof of your ability to carry out your business (diplomas, certificates, etc.), and documents related to your business premises.
• Business Registration: Once you have the appropriate visa or residence permit, you can proceed with registering your business. You will need to choose a legal structure for your business and obtain any necessary licenses or permits specific to your industry. You will also need to register your business address in France, which can be a virtual office or physical premises.
• Tax and Social Security Registration: You will need to register for tax purposes and obtain a VAT number. Additionally, depending on your business structure and employment status, you may need to register with the social security system for the self-employed.

Financial requirements

International students intending to start a business in France should be aware of the country's well-developed infrastructure and strategic geographic location, which facilitate business opportunities with international investors. Paris, a leading global financial centre, is a hub of business and cultural activity, attracting foreign investors worldwide.

To establish a business in France, there are various financial requirements that must be met, depending on the nature of the business. Here is a comprehensive overview:

• Residence Permit: Foreign citizens intending to start a business in France must obtain a residence permit. For international students, a temporary residency permit, known as "Autorisation Provisoire de Séjour" (APS), is necessary. This permit allows students to stay in France for one year after graduation to develop their business projects. Once the APS expires, if the business is still operational, a "carte de séjour temporaire mention entrepreneur-profession libérale" (temporary freelance-entrepreneur residency permit) must be obtained to continue conducting non-salaried professional activities.
• Business Registration and Social Security: Depending on the business entity, registration requirements vary. For instance, agricultural businesses must register with the Chamber of Agriculture, while financial companies need to register with the Central Bank and/or the Financial Supervisory Authority. Additionally, self-employed individuals must register with the social security system.
• Supporting Documents: When setting up a company, several supporting documents relating to finances are typically required. These may include a bond undertaking from an authorised bank or insurance company operating in France and a certificate of credit balance for an account opened with a French bank.
• Business Plan and Budget: Foreigners setting up a company in France are usually required to present a comprehensive business plan and a multiannual provisional budget. This demonstrates a well-thought-out strategy and financial stability for the business's initial years.
• Premises and Leasing: Depending on the business's premises, relevant documents must be provided. For leased premises, a copy of the commercial lease with the activity statement is necessary. If there is a sublease, a copy of it along with the owner's permission for the stated business activity may be required.
• Tax Considerations: France has double tax treaties with various countries, offering tax exemptions on withholding taxes for dividends. Additionally, when a French holding company controls more than 10% of a subsidiary for over a year, dividends from the EU subsidiary are exempt from taxation due to the EU's Parent-Subsidiary directive.

It is always advisable to consult with legal professionals specialising in French business law to ensure compliance with the country's financial and regulatory requirements.

Support and assistance

International students can start a business in France, but they need to ensure they have the right visa. The student-entrepreneur status allows students to benefit from a support structure, supervision, and training. There are many statutes, assistance programs, and specialized structures to help students and graduates start a company in France, regardless of their project or nationality.

The French government launched a website, mycompanyinfrance.fr, dedicated to foreign entrepreneurs who want to start a business in France. All information is available in English.

If you are under 28, still a student, or a recent graduate, you can apply for étudiant-entrepreneur status. Once you have completed your business plan, you present it to your local student-entrepreneur network, Pépite. If your project is accepted, you will benefit from a co-working space, guidance, and training to launch your business.

The student-entrepreneur status lets you benefit from supervision and training, and lets graduates under 28 years of age continue to benefit from student social security coverage.

The micro-entrepreneur status can be used with a paid activity or if unemployment benefits are being received. It is a practical structure that is relatively free of restrictions when you want to start a company with a minimum amount of personal risk.

The French Tax Online offers expert assistance to internationals who need to file a tax return. All your business invoicing must include the following information: the total amount excluding VAT (prix HT – hors tax), the VAT (TVA) or a specific mention that TVA is not charged, and the total sale price (TTC).

It is recommended to get professional advice on employment contracts, working conditions, employment law, and the minimum wage. It is worth looking into whether specific support exists that is relevant to you and your business in France.

Frequently asked questions