Nowadays, more and more people dream of becoming self-employed, and it’s no surprise. Self-employment offers freedom, flexibility, and the opportunity to make your professional dreams come true. If you’re thinking about taking the plunge and starting your own business, this comprehensive guide will walk you through all the steps needed to become self-employed
What is a self-employed person?
Before diving into the process of becoming a self-employed entrepreneur , it is essential to understand what it means. A self-employed entrepreneur is a person who carries out a professional activity as an individual, without creating a company. This means that you are responsible for your business and reap all the profits from it, but you are also responsible for all the debts and liabilities that arise from it.
The advantages of becoming a self-employed entrepreneur
Before deciding to become self-employed, it is important to weigh the pros and cons. Here are some of the most notable advantages:
1. Professional freedom
As a freelancer, you have complete control over your business. You can choose the projects you work on, set your rates, and define your schedule. This allows you to balance work and personal life in your way.
2. Administrative simplicity
Starting and managing a business as a self-employed person is generally simpler administratively than setting up a company. Accounting and tax obligations are reduced, making it easier to manage your business.
3. Access to aid and devices
Self-employed entrepreneurs have access to certain financial aid and support schemes, which can make it easier to launch their business. These benefits vary depending on your sector of activity and your situation.
The steps to becoming a self-employed entrepreneur
Now that you have a clear idea of the benefits, let’s move on to the concrete steps to become a self-employed entrepreneur.
1. Find your business idea
The first step is to determine what type of business you want to pursue as a self-employed person. It is essential to choose a field that you are passionate about and in which you have skills.
2. Market research
Before you launch, conduct market research to assess the demand for your product or service, as well as the competition. This will help you refine your offering and better understand your target audience.
3. Write a business plan
A business plan is essential for planning your business. It should include a description of your business, your goals, your financial plan, and your marketing strategy.
4. Choose a legal status
In France, self-employed entrepreneurs have the choice between several legal statuses, such as micro-enterprise or micro-enterprise regime. It is important to choose the one that best suits your situation.
5. Company registration
To become a self-employed entrepreneur, you must register with the French administration. You can do this online or by going to the Business Formalities Center (CFE) in your region.
6. Obtain a SIRET number
After registration, you will receive a SIRET number, which identifies your company. This number is necessary to invoice your customers and manage your business.
7. Accounting management
As a self-employed person, you must keep simplified accounting records. You can do this yourself or hire an accountant to help you.
When you become a self-employed entrepreneur, you have tax and social obligations to respect. Here are some important points:
1. The micro-tax regime
As a self-employed person, you benefit from the micro-tax regime. This means that you pay your income tax based on your turnover. The rate varies depending on your activity.
2. Social contributions
You must also pay social security contributions, calculated based on your turnover. These contributions cover health insurance, retirement, and other social benefits.
Creating your self-employed business
To become a self-employed entrepreneur, you must follow these creation steps:
1. Online registration
Go to the official auto-entrepreneurs website and complete the online registration form. This step marks the beginning of your adventure as an auto-entrepreneur, requiring essential personal and professional details.
2. Choice of status
Select the legal status that best suits your business. Options include “micro-entrepreneur” and other structures, impacting taxation and liability depending on the nature of your business.
3. Administrative procedures
Provide required documents, such as your ID, and follow administrative requirements to ensure compliance with government regulations.
4. Declaration of commencement of activity
After registration, officially declare the start of your business. This declaration allows you to legally invoice your customers and conduct business transactions.
5. Accounting management
Set up a system to track your income and expenses. Effective accounting ensures financial transparency and tax compliance.