Autoentrepreneurs

(self - contractors ?)in France

Benoît Granger

Professeur à Advancia

June 2010

Benoît Granger

Number of creations doubled in 2009 –but are they « enterprises » ?

Benoît Granger

Other categories are diminishing

Benoît Granger

The Law

Origin : the Law of modernization of the economy, August 4, 2008 creates the new regime of self-contractor. It came into force on January 1st, 2009. an easy system for those who want to undertake, whether jobseekers, employees, retirees,

Benoît Granger

Very tiny projects

To meet this law, the turnover should not exceed in 2009: - € 80,000 + VAT for a purchase-resale business, sales for consumption on and provision of accommodation (beds and breakfasts)- € 32,000 plus VAT for the services (including services to persons and families).

Benoît Granger

The main points of the system

1. Legal status: sole proprietorship 2. Simplified creation (and radiation) Simplified and

rapid reporting of activity on the Internet www.lautoentrepreneur.fr 3. Exemption or optional registration with the Trade and Companies Register

4. Simplified contributions on social security. Contributions are calculated on the income received during the period selected: 12% of sales activity ; 21.3% of revenues for services

Benoît Granger

5. You can also opt for the lump sum on the income tax from your business 6. Accounting requirements eased: A journal detailing the revenue will be kept; all invoices and documents relating to purchases, sales and services will be maintained7. If you opt for payment in discharge of tax revenue, the company is exempt from business tax for 3 years (the year of the creation and subsequent two years).

8. Possibility of declaring home (“principal residence” and real estate property) out any collateral : intangible property

Benoît Granger

40% come from unemployment

Benoît Granger

Turnover declared by each autoentrepreneur : declining !

Benoît Granger

What skills ?source : APCE – la création d’entreprise en France en 2009 – Mai2010

Operations most concerned(50-85% self-contractors) Computer repairs, property

personal and domesticRetail non-store stalls and markets (sale catalog, Internet at home ...)Micro-manufacturing (jewelry, floral, buttons, sticks ...)Various specialized activities (designer, photographer, translator, interpreter, Construction Economist ...)

Operations less concerned(0-35% self-contractors) Production and distribution of

electricity, gas and steamHotelsEngineeringManufacture of machinery and equipmentRetail sale in specialized storesLand passenger transport

Benoît Granger

Operations most concerned(50-85% self-contractors Catering Services

Health activities (Acupuncture, homeopathy, psychoanalysts, healers ...)Various administrative activities (Secretarial, office administrative services, micro-call centers ...)Personal Services (aesthetics,body care ...)Textile ManufacturingProgramming, consultancy and other computerClothing industryManagement Consulting

Operations less concerned(0-35% self-contractors) Road Transport and freight

services removalBuildingLegal and accounting activities rental and leasingRestorationAutomotive and other Manufacturing transport equipmentFood IndustryControls and technical analysisThermal equipment installation air conditioning

Benoît Granger

They need (and they ask) BDS !

Benoît Granger

But almost a complete «virtualization » of process

makes it impossible ! You become an « entrepreneur » (?) by

ten minutes transaction on the Net ! ? !...

No : it is something else. And worrying ont the scale of RISKS they take…

Benoît Granger