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Incorporate a EURL (a French Sole Shareholder Limited Liability Company)
Create your EURL with our French corporate lawyers and paralegals who take care of everything from start to finish: drafting the articles of association, appointing the manager, defining the share capital, completing all filings, and providing you with the Kbis extract.
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What is a EURL ("entreprise unipersonnelle à responsabilité limitée") ?
An EURL (Entreprise Unipersonnelle à Responsabilité Limitée) is the single-member form of a SARL, that is, a sole shareholder French limited liability company. It allows one person to run a company with limited liability, separating personal assets from business risks. It is perfectly adapted to entrepreneurs who want to start a business in France with limited liability and a straightforward governance model, while relying on a legal form recognized by banks, suppliers, and professional partners—facilitating financing, contracts, and everyday operations. Advantages:
Capital flexibility: the founder freely sets the amount of share capital in the articles of association, which can be as low as €1.
Single shareholder: designed for solo entrepreneurs, but can later be transformed into a multi-partner SARL if new associates join.
Management choice: the founder can be the manager or appoint another person to handle day-to-day operations.
Limited liability: the founder’s responsibility is restricted to the amount of their contribution (except in cases of fraud or gross mismanagement).
No statutory auditor required: unless certain legal thresholds are exceeded, an EURL does not need an auditor.
The EURL allows an entrepreneur to start small, with minimal capital requirements and simplified management, while preserving the option to evolve into a larger structure (SARL) as the business grows.
How to Incorporate a EURL in France?
Setting up an EURL (Entreprise Unipersonnelle à Responsabilité Limitée) doesn’t have to be complicated. With FrenchCo.lawyer the procedure is simple, fast, and fully compliant with French law. Here is how we support you step by step:
1. Gathering Essential Information
We collect all key elements needed for your file: the identity and address of the sole shareholder, the chosen company name, business purpose, registered office (lease, domiciliation, or ownership deed), and the amount of share capital. Every detail is checked to ensure legal consistency.
2. Drafting the Legal Paperwork
Our lawyers prepare the tailored bylaws, the act appointing the manager (who is often the sole shareholder), the beneficial ownership declaration, and the mandatory notice for publication in a legal gazette.
3. Handling the Share Capital
We assist with opening the dedicated account, depositing the initial funds or in-kind contributions, and obtaining the bank or notary certificate confirming the release of the capital.
4. Filing with the Registry
We assemble and file the full incorporation dossier (bylaws, manager appointment, capital certificate, legal notice, registry forms) with the Commercial Court Registry, and follow up until registration is completed.
5. Delivery of the Kbis
Finally, you receive the Kbis extract, the official certificate of existence of your EURL, together with certified copies of your incorporation documents.
Why Choose FrenchCo.lawyer?
With us, all legal advice is provided by registered French lawyers and formalities are carried by trained paralegals, ensuring speed, compliance, and peace of mind. You can focus on growing your business while your EURL is legally incorporated and ready to operate.
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What We Need From You to a Incorporate Your French EURL ?
To set up your EURL quickly and in full compliance, we will simply ask you to provide the following:
Key Company Details
Your chosen business name, corporate purpose, and the address of the registered office (lease agreement, domiciliation contract, or property deed).
Sole Shareholder Information
Identity documents and address of the unique associate, together with confirmation of the percentage of ownership (always 100% in an EURL).
Manager Appointment
Information about the manager, who may be the sole shareholder or a third party, including proof of identity and residence. Special attention is given when the manager resides outside France.
Share Capital Contributions
Details of the contribution to be made (cash or in-kind), with supporting evidence such as a bank deposit certificate or valuation of contributed assets if necessary.
And Then?
Once we have these elements, our lawyers take over the full process: drafting the bylaws, preparing and filing the incorporation dossier with the Commercial Court Registry, and securing the official Kbis extract of your EURL.
Incorporate a EURL – Simple Process, Clear Budget
Flat legal fee starting from €999* €999* excl. VAT.
Additional mandatory costs: publication in the official legal gazette + court registry filing fees
No hidden costs, no unpleasant surprises
Our promise: we are lawyers, not resellers of add-ons. That means:
No upsells for virtual offices or bank accounts.
No confusing “packages” hiding extra charges.
Only real legal services tailored to protect your business.
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We believe in clear, simple, and fully transparent pricing
Why Set Up Your EURL With FrenchCo.Lawyer?
Quick setup: Your EURL is registered without delay, with end-to-end assistance from our lawyers and legal staff.
Legally compliant documents: We prepare all required acts—bylaws, manager appointment, share capital certificate, and registry filings—in line with the latest French legal requirements.
Clear and protective drafting: Your incorporation documents are written to ensure transparency, legal certainty, and proper protection of the sole shareholder’s rights.
High professional standards: Every step of the process follows rigorous legal drafting practices, with documents adapted to the specific needs of your project
Let us handle everything so you can focus on growing your business.
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Understanding the Incorporation of a French EURL
Can a foreigner create and manage a EURL (sole-shareholder limited liability company) in France?
Yes. Foreign nationals—whether individuals or legal entities—can freely establish a French EURL and hold 100% of its shares. They can also be appointed as the company’s manager (gérant). The formalities, however, depend on their nationality and whether they plan to live in France.
1. Managers Living Abroad
If the gérant does not intend to reside in France, no residence formalities are required. Their appointment can be registered directly with the Registre du commerce et des sociétés (RCS). This rule applies to all foreign nationals, whether EU or non-EU: you can run an EURL from abroad without a French residence permit.
2. EU, EEA, and Swiss Citizens
Nationals of the European Union, the European Economic Area, and Switzerland face no restrictions in becoming managers of an EURL. If they choose to live in France, they simply need to register with their local mairie (town hall) within three months of arrival. No residence permit is required.
3. Non-EU Residents in France
Foreign managers from outside the EU/EEA/Switzerland who wish to settle in France must obtain a valid residence permit. Options include:
One-year residence card “entrepreneur/profession libérale.”
Four-year multi-year card (after the first year), subject to civic training and (from 2026) proof of sufficient French language skills.
Ten-year resident card, renewable, after five years of continuous residence.
Talent permits (up to 4 years) available immediately in some cases for entrepreneurs or project holders.
Without the proper permit, the manager risks criminal sanctions: fines, imprisonment, and exclusion from French territory.
4. Special Bilateral Agreements
Certain nationals benefit from exemptions under international treaties. This is the case for citizens of Algeria, Andorra, and Monaco.
5. Registration with the RCS
Whatever the nationality, once residence formalities (or treaty exemptions) are cleared, the appointment of the gérant must be registered with the RCS, which verifies compliance before the EURL is officially recognized.
What is the minimum capital for a EURL?
No. French law no longer sets a statutory minimum capital for forming an EURL. Under Article L. 223-2 of the Commercial Code, the sole shareholder is free to fix the capital in the bylaws—even as little as one euro.
However, opting for a symbolic amount is not without risks:
Credibility with partners and banks: Under-capitalization often leads creditors to demand personal guarantees, which can limit financing capacity.
Loss of half of capital: If equity falls below 50% of the stated capital, the sole shareholder must decide whether to recapitalize or dissolve the company (C. com. art. L. 223-42). With very low capital, this can happen quickly.
Manager’s responsibility: While insufficient contributions fall on the shareholder, the manager may be held liable if no recapitalization is attempted when survival is at stake.
Capital may be released gradually: only 20% of cash contributions need to be paid at incorporation, the balance within five years. However, until fully paid, the company loses access to certain tax benefits (reduced IS rate, interest deduction).
In short: you can create an EURL with €1, but a realistic level of capital is usually recommended to reassure partners, strengthen credibility, and avoid early financial difficulties.
Where Can I Set the Registered Office of a SARL or EURL in France?
When incorporating a SARL or an EURL in France, one of the very first decisions is the registered office (siège social). This address is not a formality: it determines the applicable law, the competent court in case of disputes, and the place where all legal notices and registrations must be made. But where, in practice, can the registered office be located?
Several options are available:
Private premises: The company may use premises it owns or rents. Proof of ownership or a commercial lease is required for registration.
Manager’s home: The law allows domiciliation at the manager’s personal address, sometimes permanently (outside Paris and large cities, subject to lease or co-ownership rules), and always temporarily for up to five years. In large cities or restricted areas, this is only possible if no clients or stock are received on site.
Domiciliation company: Specialized domiciliation providers, approved by the prefecture, offer professional addresses. This solution is common for entrepreneurs seeking prestige, flexibility, or administrative support.
Parent company’s premises: Subsidiaries may install their siège social at the address of the parent company without a domiciliation contract, provided one entity has enjoyment of the premises.
Risks exist if rules are ignored: temporary domiciliation not renewed leads to strike-off from the RCS; breaching lease or co-ownership clauses may result in lease termination; and non-compliant domiciliation companies risk heavy fines.
In short: your SARL or EURL can be domiciled at home, in rented or owned premises, or via a professional domiciliation service. The choice should balance cost, legal compliance, and the company’s credibility with partners, banks, and clients.
What are the Social Security Contributions for a Manager of a EURL?
The social protection scheme of an EURL manager who resides in France depends on whether the manager is also the sole shareholder (associé unique) or not.
1. Sole shareholder–manager of an EURL
The gérant associé unique is automatically affiliated to the self-employed social security scheme (travailleurs non-salariés, TNS).
This applies whether or not the manager receives remuneration and even if the company has no activity (as long as it exists on the RCS).
The contributions are calculated on:
If the EURL is taxed under income tax (IR): the share of profits attributable to the shareholder.
If the EURL is taxed under corporate tax (IS): the manager’s remuneration plus the portion of dividends exceeding 10% of share capital, share premiums, and the shareholder’s current account.
In practice, contributions cover health–maternity, pensions, invalidity-death, family allowances, CSG/CRDS, and professional training.
2. Non-shareholder manager of an EURL
When the gérant is appointed by the sole shareholder but does not own the company, they are not considered self-employed. Instead:
They fall under the assimilé-salarié regime of the general social security system.
Their contributions are calculated in the same way as employees (health, pensions, unemployment excluded unless a genuine employment contract is in place).
They enjoy broader coverage but at a higher contribution cost than TNS status.
3. Manager residing outside France
If the gérant of an EURL does not live in France, affiliation depends on their place of residence and applicable international agreements.
EU/EEA/Swiss residents may remain covered by their home system if they can provide an A1 certificate; otherwise, they are affiliated to the French regime.
Non-EU residents who do not contribute in their country of residence will generally be subject to French TNS contributions if they are sole shareholder–managers, or assimilé-salarié contributions if they are non-shareholder managers.
Bilateral treaties (e.g., with Algeria or Monaco) may provide specific exemptions.
4. Key points to remember
No dual status: a majority manager cannot combine their mandate with an employment contract in the same company.
What taxes will my EURL pay in France?
An EURL (Entreprise Unipersonnelle à Responsabilité Limitée) is taxed differently depending on its chosen tax regime and the situation of its sole shareholder (individual or company). Here’s the full breakdown:
1. Corporate Tax (Impôt sur les sociétés – IS)
By default, an EURL with a legal entity as sole shareholder is subject to corporate tax. If the sole shareholder is an individual, the EURL can choose between IS and personal income tax (IR).
Standard IS rates (2025):
- 15% on the first €42,500 of annual profit (if conditions are met: fully paid-up capital, turnover ≤ €10M, shareholder owns ≥ 75% of shares).
- 25% on the portion above this threshold.
Dividends: Distributed profits are taxed again at the shareholder’s level (e.g., flat tax 30% = 12.8% income tax + 17.2% social contributions, or progressive income tax scale if opted).
2. Income Tax (Impôt sur le revenu – IR)
If the sole shareholder is an individual, the EURL is by default taxed under income tax, unless it opts for IS.
The taxable result (profit or loss) is reported directly on the shareholder’s personal tax return.
Profits are taxed under the category:
- BIC (industrial and commercial profits),
- BNC (non-commercial profits),
- or BA (agricultural profits), depending on the activity.
Rates follow the progressive IR brackets (up to 45%).
Opting for IS can be advantageous to reinvest profits in the company at lower tax rates.
3. Social Security Contributions
The EURL manager’s social regime depends on whether they are also the sole shareholder:
- Sole shareholder–manager (associé unique gérant): contributions under the self-employed scheme (TNS) based on remuneration + part of dividends (above 10% of capital, share premiums, and current account).
- Non-shareholder manager: assimilated employee, contributions similar to salaried executives.
These contributions are mandatory and separate from income or corporate tax.
4. Other Taxes and Duties
- VAT (TVA): The EURL must collect VAT on sales (unless exempt under the small business regime – franchise en base). Rates: 20% (standard), 10%, 5.5%, or 2.1% depending on goods/services.
- CFE (Cotisation Foncière des Entreprises): Local business property tax due every year, based on office/shop surface.
- CVAE: Abolished in 2024; no longer applies.
- Registration duties: Payable only in specific operations (e.g., contributions in kind, share transfers, capital increases).
Summary:
Your EURL will pay either corporate tax (IS) or income tax (IR) depending on your choice, plus social security contributions for the manager, and business taxes like VAT and CFE. The best regime depends on whether you want to reinvest profits (IS often better) or withdraw them as personal income (IR may suit small businesses).
| Criteria | EURL taxed under Corporate Tax (IS) | EURL taxed under Personal Income Tax (IR) |
|---|---|---|
| Taxable entity | The company pays corporate tax. | The shareholder pays personal income tax directly on company profits. |
| Tax rate | – 15% on first €42,500 of profits (if conditions met)- 25% above | Progressive IR brackets: 0% → 45% depending on income level |
| Profit distribution | After IS, remaining profits can be:- Reinvested (no extra tax)- Distributed as dividends (30% flat tax: 12.8% income tax + 17.2% social contributions, unless opting for IR scale) | All profits are deemed distributed to the shareholder and taxed as personal income (BIC/BNC/BA depending on activity). |
| Social contributions | Based on:- Remuneration paid to the manager- Plus part of dividends exceeding 10% of (share capital + share premiums + shareholder’s current account) | Based on the total profit, even if not withdrawn, since profit is deemed personal income of the shareholder. |
| Flexibility | Profits can be left in the company to reinvest with only 15–25% IS.Manager can choose salary vs dividends to optimize taxation. | No flexibility: all profit is taxed at the shareholder’s income tax rate + social charges, even if reinvested. |
| Best suited for | Entrepreneurs planning to grow or reinvest in the company, or who want to control their taxable income via salary/dividends. | Entrepreneurs with modest profits who want to withdraw most or all profits as personal income. |
| Example (profit €50,000) | IS: €42,500 × 15% = €6,375€7,500 × 25% = €1,875IS due: €8,250Remaining profit €41,750 → distributed dividends taxed at 30% (unless IR option)+ social charges depending on dividends/salary mix | Entire €50,000 taxed at shareholder’s IR bracket:- If low bracket (e.g. 11%): €5,500 IR- If higher bracket (30%+): up to €15,000 IR+ social charges on full €50,000 |
How does a EURL compare to a SASU overall?
For solo entrepreneurs in France, the choice often comes down to EURL (Entreprise Unipersonnelle à Responsabilité Limitée) or SASU (Société par Actions Simplifiée Unipersonnelle). Both limit liability, but they operate under different legal and practical logics.
1. Governance
EURL: Heavily guided by the Commercial Code. The manager (“gérant”) must follow predefined rules for decisions, accounting, and approvals. This legal framework brings stability and predictability, useful for small businesses or traditional professional activities.
SASU: Maximum flexibility. The bylaws freely define how the president acts, how decisions are validated, and how future shareholders may be brought in. This makes it the go-to option for startups or projects that expect external investors.
2. Liability
Both forms protect the founder’s personal assets by limiting liability to contributions. In practice, however, banks are more inclined to request personal guarantees from EURL managers, while SASU structures sometimes avoid this when investors are involved.
3. Taxation
EURL: Can be taxed under income tax (IR) if the shareholder is an individual, or under corporate tax (IS) by choice. This dual option allows for tailored tax planning depending on profits.
SASU: By default taxed under corporate tax (IS), with no permanent IR option (only temporary under strict conditions).
4. Social security of the manager
EURL: The sole associate-manager is affiliated with the self-employed scheme (TNS). Contributions are lower but social protection (pensions, health, unemployment coverage) is also weaker.
SASU: The president is always treated as an assimilated employee. Contributions are higher, but social protection is stronger—closer to that of regular employees (except unemployment insurance).
5. Transferability and investors
EURL: Harder to evolve into a multi-shareholder company. Converting later into a SARL or SAS requires formal changes.
SASU: Very easy to open to new shareholders by issuing or transferring shares. A natural choice for entrepreneurs who expect to grow and bring in partners or investors.
EURL vs SASU (Quick View)
| Aspect | EURL | SASU |
|---|---|---|
| Governance | Fixed legal framework, predictable but rigid | Very flexible, tailored in bylaws |
| Liability | Limited to contributions, guarantees often required | Limited to contributions, guarantees less frequent |
| Social status | Manager = self-employed (TNS) | President = assimilated employee |
| Taxation | IR (default) or IS (option) | IS by default, IR only temporarily |
| Evolution | Less flexible, harder to open up | Easy transfer/issuance of shares, investor-friendly |
| Best suited for | Traditional small businesses, freelancers seeking simplicity | Startups, scalable projects, ventures with investors |
How does a SARL compare with a sole proprietorship?
When launching a business in France, entrepreneurs often weigh the choice between setting up as a sole proprietor (entrepreneur individuel) or creating an EURL (Entreprise Unipersonnelle à Responsabilité Limitée). The 2022 reform of the sole proprietor status improved personal asset protection, but important differences remain.
1. Legal status and liability
EURL: a separate legal entity with its own assets. The founder’s liability is limited to the capital contributed, even if banks may still request personal guarantees.
Sole proprietorship: no distinct legal personality. Despite the reform introducing the notion of a “professional estate,” the business remains legally tied to the individual.
2. Continuity and financing
EURL: survives changes in ownership. It can attract financing more easily since banks, investors, and partners recognize it as a structured, credible vehicle.
Sole proprietorship: ceases with the entrepreneur unless assets are transferred. Raising funds is harder, as the activity is inseparable from the person.
3. Social and tax status
EURL: the sole shareholder-manager falls under the self-employed social security scheme (TNS). Tax-wise, the EURL defaults to corporate tax (IS) but may opt for income tax (IR) under certain conditions, giving flexibility in profit management.
Sole proprietorship: always taxed under income tax (IR) and always affiliated to the self-employed scheme. No option to optimize between IS and IR.
4. EURL vs Sole Proprietorship (Quick View)
| Aspect | EURL | Sole Proprietorship |
|---|---|---|
| Legal status | Separate company with limited liability | No separate entity; business tied to individual |
| Liability | Limited to contributions (personal guarantees may apply) | Personal assets exposed, except new “professional estate” shield |
| Social status | Sole manager → self-employed (TNS) | Always self-employed |
| Taxation | Corporate tax (IS) by default, IR option possible | Always taxed under IR |
| Financing | Easier access to loans and partners | Limited to personal means |
| Continuity | Company survives; shares transferable | Ends with entrepreneur |
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More About Incorporating a French EURL
Is a EURL different from a SARL?
No. An EURL (Entreprise Unipersonnelle à Responsabilité Limitée) is simply the single-member version of a SARL (Société à Responsabilité Limitée).
EURL = 1 shareholder: created for entrepreneurs who want to start alone while still enjoying limited liability.
SARL = 2 to 100 shareholders: designed for projects with multiple shareholders.
Both forms follow the same legal framework (Commercial Code, articles L. 223-1 and following). The only real difference lies in the number of shareholders: an EURL can automatically become a SARL if the sole shareholder sells or transfers part of their shares.
Thus, a SARL (having more than 1 shareholders) will automatically become a EURL if it is left with only one, and a EURL (having only 1 shareholder) will automatically become a SARL if another shareholder joins.
Can legal entities be shareholders of a EURL?
Yes, legal entities can be shareholders of an EURL, and in fact this is a common and strategic use of the form.
An EURL can be owned either by a natural person (an individual) or by a legal person (a company). When the sole shareholder is a company, the EURL often serves as a subsidiary or a vehicle for a specific business activity.
Why is this structure preferred for subsidiaries?
Simplicity: only one shareholder, clear governance, and limited liability.
Flexibility: the parent company keeps full control of the subsidiary’s decisions through the appointment of the manager.
Tax efficiency: the EURL is usually subject to corporate tax (IS), which integrates smoothly into group tax planning.
Credibility: despite being a single-member company, an EURL is recognized as a full legal entity with its own registered office, bank account, and Kbis.
This makes the EURL a preferred vehicle for French or foreign groups that want to set up or expand their presence in France through controlled, wholly-owned subsidiaries.
How long does it take to register a EURL in France?
On average, the process takes 1 to 2 weeks, depending on how quickly documents are prepared and validated by the relevant authorities.
What are the main steps to incorporate an EURL?
Drafting the company statutes (articles of association)
Depositing share capital in a bank account
Publishing a legal notice in an authorized journal
Registering with the Registre du Commerce et des Sociétés (RCS) via the guichet unique
Our French registered lawyers draft the required documents and help you every step of the way intil registration is completed successfully.
Do I need a French address to register an EURL?
Yes, every EURL must have a registered office address in France. This can be a physical office, a domiciliation service, or the director’s home address (under certain conditions).
What taxes are payable in a EURL?
By default, an EURL owned by an individual is taxed under income tax (IR), but you can opt for corporate tax (IS) if it’s more advantageous. An EURL owned by a company is automatically subject to corporate tax.
Who manages an EURL?
The EURL is managed by a gérant (manager), who can be the sole shareholder or a third party. The manager is responsible for day-to-day operations and legal compliance.
What accounting obligations does an EURL have?
An EURL must maintain regular bookkeeping, file annual accounts, and comply with both the French Commercial Code and the General Tax Code (CGI).
Can a foreigner create an EURL in France?
Yes, foreigners can create an EURL in France, provided they have a valid ID and comply with French administrative and tax registration requirements.
Can an EURL later add more shareholders?
Yes. If new partners are added, the EURL automatically becomes an SARL (Société à Responsabilité Limitée) without needing to dissolve and recreate the company.
