Employer of Record Guide · France

🇫🇷 EOR Guide —
France

Everything you need to know about using an Employer of Record in France — provider fees, compliance risks, hire speed, and EOR vs direct employment.

High compliance riskMature EOR marketHire speed: Medium
France Overview

Employer SS (approx)

~30% of gross salary

Minimum wage (SMIC 2025)

€11.88/hr

Minimum annual leave

25 working days (5 weeks)

Standard working week

35 hours

Maternity leave

16 weeks (employer + state)

EOR providers active

Deel, Remote, Papaya, Oyster, Globalization Partners

Our Recommendation

EOR strongly recommended — France is high complexity

France has the most complex employment law environment in western Europe. Employer social charges of ~30%, mandatory collective agreement compliance, a 35-hour working week, 5 weeks minimum holiday, and one of the most employee-protective termination frameworks in the world. EOR is strongly recommended unless you plan to build a significant French operation (20+ employees).

EOR provider fee range for France

1220%on top of total employer cost

Rates vary by provider, headcount, and benefits scope. Always request itemised quotes from at least three providers.

EOR vs Direct Employment

EOR advantages in France

  • Hire in days
  • Provider navigates conventions collectives
  • No French entity required
  • Provider liable for social charges compliance

EOR limitations in France

  • 12–20% markup on already high employer cost
  • Collective agreement coverage must still be determined
  • Provider controls contract template

Direct employment advantages

  • Full entity control
  • No markup at scale
  • Direct access to conventions collectives

Direct employment limitations

  • SAS/SARL setup takes 4–6 weeks
  • Highest employer SS in western Europe (~30%)
  • Extremely complex termination process

Local Entity Options

Setting up a legal entity in France.

If you outgrow EOR or prefer direct employment, these are the main legal structures available in France for foreign companies.

Societe a Responsabilite Limitee (SARL)

Setup time

7–21d

Est. cost

$3,000

Min. capital

None

Corp. tax

25%

Div. WHT

30%

VAT rate

20%

Registered address required100% foreign ownership permitted

Annual obligations

  • Annual accounts filing (Greffe du Tribunal de Commerce)
  • Corporate tax return (DGFiP)
  • DSN payroll declaration (monthly)
  • TVA returns (monthly/quarterly)
  • Liasse fiscale

Overview

Main SME structure in France. No minimum capital (EUR 1 minimum, but practical minimum EUR 1,000+). 1-100 shareholders. Registered office in France required. Guichet Unique digital platform for registration. Standard corporate tax 25% (15% SME rate on first EUR 42,500). VAT standard rate 20% — no registration threshold for most businesses (except micro-enterprises). Social charges on dividends if manager also employee.

Official company registry

Societe par Actions Simplifiee (SAS)

Setup time

7–21d

Est. cost

$4,000

Min. capital

None

Corp. tax

25%

Div. WHT

30%

VAT rate

20%

Registered address required100% foreign ownership permitted

Annual obligations

  • Annual accounts filing
  • Corporate tax return
  • DSN payroll declaration
  • TVA returns
  • Liasse fiscale

Overview

Flexible corporate structure increasingly preferred by foreign investors and startups. No minimum capital. Highly flexible governance structure — articles of association define management rules. At least 1 president (can be a legal entity). No limit on shareholders. Easier to structure equity, stock options, and investment rounds than SARL. Dividends not subject to social charges (unlike SARL manager). Most VC-backed companies use SAS.

Official company registry

Branch (Succursale)

Setup time

2000d+

Est. cost

Min. capital

$30

Corp. tax

25%

Div. WHT

30%

VAT rate

20%

Registered address required100% foreign ownership permitted

Annual obligations

  • Annual accounts of parent company
  • French corporate tax return
  • TVA registration

Overview

Foreign companies can register a branch (succursale) in France. No separate legal personality. Parent liable for all branch obligations. Must register with Greffe du Tribunal de Commerce. Branch profits subject to French corporate tax. Branch remittances may be subject to withholding tax. Annual parent accounts must be published in French.

Official company registry

Compliance Risks

Key EOR compliance risks in France.

Discuss each of these with your chosen provider before signing.

Conventions collectives

High

Most industries have a mandatory collective agreement that overrides statutory minimums on pay, hours, and benefits. Your EOR must apply the correct one.

Licenciement (dismissal process)

High

Dismissal in France requires a formal entretien préalable, written grounds, and a waiting period. Termination without cause is almost always challenged.

35-hour working week

Medium

Overtime beyond 35 hours per week attracts mandatory premium pay and triggers additional employer contributions.

Profit sharing (participation)

Medium

Companies with 50+ employees must implement a statutory profit-sharing scheme. Your EOR should flag when you approach this threshold.

Cost Estimator

Estimate your France EOR cost.

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