September 16, 2026
A practical guide to choosing the right French company structure as a foreign founder: the main legal forms, what changes when you’re not an EU national, and how registration actually works. Brought to you by the immigration team at LegalMova.
Before comparing legal forms, it’s worth separating two questions that get conflated constantly: what kind of company should I form, and can I actually run it the way I’m planning to. The second question depends entirely on your residence situation, and it changes the answer to the first one more than most guides let on.
Here’s the fact that matters most for foreign founders: owning shares in a French company requires no residence permit at all, regardless of nationality. You can hold 100% of a company’s capital without ever setting foot in France, and registration can be completed entirely by proxy or electronic signature. Directing that company while physically based in France is a different matter entirely, and usually does require a residence permit. Keep that distinction in mind as you read the rest of this guide, since it changes which structure actually fits your situation.
Before diving into the details below, here’s how the six main structures stack up on the three things that matter most when you’re first choosing: how many people can found the company, how much capital you need to start, and how exposed your personal assets are if things go wrong.
EI (entreprise individuelle), optionally under the micro-entrepreneur tax and social regime, isn’t a company in the legal sense. The entrepreneur and the business are legally the same person, meaning there’s no separate legal personality and, without additional protective steps, no liability shield. It’s the simplest way to start, but the micro-entrepreneur version comes with hard turnover caps: €203,100 for commercial or goods-based activity, and €83,600 for services, confirmed on the official government business portal. Cross that threshold and you need to move to a different regime or structure entirely.
EURL is the single-member version of the SARL, and SASU is the single-member version of the SAS. Both give you limited liability with a freely-set minimum capital of just €1, though in practice, depositing €1,000 to €5,000 gives you meaningfully more credibility with banks and commercial partners. The real difference between them shows up later: converting a SASU into a full SAS when you bring on a second shareholder is straightforward, just an opening of capital through a share transfer or capital increase, with no heavy formality. Converting an EURL into a SARL requires a formal amendment to the bylaws and a legal publication, which is slower and costs more. If you’re planning to bring in investors or co-founders down the line, that difference is worth weighing now rather than later.
SAS (société par actions simplifiée) is the most commonly used structure for foreign-founded companies in France, and for good reason: its bylaws are almost entirely customizable, its president doesn’t have to be a natural person (a foreign parent company can itself be appointed president), and it converts easily as new investors come in. The trade-off is cost: a SAS president is treated as an “assimilé salarié” for social security purposes, which comes with meaningfully higher social charges than the alternative below, though also better social protection.
SARL (société à responsabilité limitée) is more heavily governed by statute, giving founders less flexibility in the bylaws, but it offers a genuine cost advantage if the majority manager (gérant majoritaire) falls under the TNS (non-salaried worker) social regime, which carries noticeably lower social charges than the SAS president’s status. For a founder planning to draw a salary early and optimize cash flow, this is a real practical consideration, not just a formality.
SA (société anonyme) is built for larger-scale projects. It requires a €37,000 minimum capital, confirmed on the official government portal, at least 2 shareholders, and is the only French company form that can list on a stock exchange. At least half of any cash contributions must be paid in at formation, with the remainder due within 5 years. Unless you’re planning a capital-intensive project with outside investment from day one, this is usually more structure than a new foreign-founded business needs.
If you already run a company abroad and want to establish a French presence rather than start fresh, you’re choosing between a subsidiary (filiale) and a branch (succursale), and the two work very differently.
A subsidiary is a fully separate French legal entity, generally majority-owned by the foreign parent, with its own bylaws, capital, and bank account. Because it’s legally distinct, the parent company’s liability stays protected even if the subsidiary runs into financial trouble. It can be formed as a SARL, SAS, SA, or EURL depending on scale and governance needs.
A branch is not a separate legal entity at all. It’s a direct extension of the foreign parent company, requires no separate capital, and is managed by a representative of the parent. That simplicity comes at a cost: the foreign parent remains directly liable for the branch’s obligations, with no liability shield. A branch is still independently registered (RCS registration, its own SIRET number) and subject to French corporate tax on its French-sourced profits, so it isn’t a way to avoid French tax exposure, just a lighter structure than standing up a fully separate company.
This is where most generic company-formation guides fall short, and where the real planning happens.
As a shareholder, nationality and residence are irrelevant. You can hold shares, vote at general meetings, and receive dividends without any residence permit, and your identity as a shareholder simply needs to be recorded in the bylaws filed with the commercial court registry.
As a director based abroad, French company law imposes no residency requirement either. Nothing stops a non-EU founder from serving as gérant or président while living in another country entirely, managing the company remotely through delegated authority, video meetings, and remote decision-making.
As a director physically based in France, the situation changes. Non-EU nationals generally need a residence permit that authorizes this specific activity, most often the Talent Passport – Corporate Representative (mandataire social) track. That route requires three cumulative conditions: at least 3 months of prior employment in a director or salaried role within the same corporate group, formal nomination as legal representative in France, and a minimum gross annual salary, currently €64,865. Fall short of any of these three, and a different visa route needs to apply instead.
If your project is a new business you’re creating from scratch rather than joining an existing group, the relevant route is usually the Talent Passport’s business creator category or the Entrepreneur/Profession Libérale visa, which we’ve covered in a separate guide, rather than the mandataire social track described above.
Confirmed formation costs for a standard SAS or SARL: €33.83 for the registration formality itself, €19.33 for the beneficial-owners declaration, plus the variable legal notice cost, bringing a typical all-in total to roughly €200, separate from any accountant or legal fees if you use professional support.
Do I need a visa just to own shares in a French company? No. Owning shares, at any percentage, requires no residence permit or visa regardless of your nationality.
Can I be the president of a French company while living in my home country? Yes. French company law doesn’t impose a residency requirement on directors, so you can manage a French SAS or SARL remotely without relocating.
What’s the minimum capital to start a company in France? Just €1 for an EURL, SASU, SARL, or SAS, though a higher deposit is generally recommended for banking and commercial credibility. The SA is the exception, requiring €37,000.
Is a branch cheaper or safer than a subsidiary? A branch is simpler to set up since it needs no separate capital, but it leaves the foreign parent company directly liable for its obligations. A subsidiary costs more to establish but keeps the parent’s liability protected.
Which structure is most common for foreign-founded startups in France? The SAS, largely because of its flexible bylaws and its straightforward path to bringing on additional investors later.
Every project is different. Whether you’re planning to run your company remotely, relocate to direct it in person, or establish a French branch of an existing business are exactly the kinds of decisions our team at LegalMova helps founders work through every day.
Book your free consultation with our team and let us assess your situation in full. No commitment, no jargon, just clear answers about the right structure and the right visa route for your project.
