Starting a Micro-Enterprise: The Complete Guide to Getting Started

If you want to become self-employed, test a business idea, or simply earn additional income, creating a micro-enterprise is often the first choice for independent professionals in France, and for good reason. This status is popular thanks to its administrative simplicity and quick setup process. 2iCS shares everything you need to know to create your micro-enterprise with confidence.

What Is a Micro-Enterprise?

A micro-enterprise, formerly known as an auto-entreprise, is a simplified version of a sole proprietorship. It is designed for anyone wishing to carry out a commercial, craft, or professional service activity independently, without having to create a company.

Its main advantage? You only pay social security contributions if you generate revenue. No turnover = no social charges!

For example, imagine a graphic designer who is employed full-time and wants to offer services outside their main job. A micro-enterprise allows them to invoice their first clients without excessive paperwork or fixed operating costs.

In 2026, the maximum annual turnover thresholds are set at €203,100 for trading activities and €83,600 for service activities and professional services. Beyond these limits, you automatically move to a different tax and social regime.

Who Can Create a Micro-Enterprise?

The good news is that almost anyone can create a micro-enterprise.

This status is available to:

• Employees wishing to develop a side business
• Students aged 18 and over
• Job seekers who may, in certain circumstances, continue receiving part of their unemployment benefits
• Retirees

However, some activities are excluded from the regime. This is particularly true for regulated professions such as notaries, lawyers, and doctors, which are governed by different legal structures.

How to Create a Micro-Enterprise

Define Your Business Activity First

Before starting the registration process, ask yourself an essential question: what exactly will you offer?

The nature of your business determines your APE code, automatically assigned by INSEE during registration, as well as your social contribution rate.

A marketing consultant and a plumber, for example, will not be subject to the same contribution rates.

Register Through the One-Stop Shop

Since January 2023, all micro-enterprise registration procedures have been carried out online through the INPI one-stop shop, available via the French business formalities portal.

You should prepare:

• A valid identity document
• Proof of address
• If required, proof of business premises

Craft professionals must also provide proof of qualifications or professional experience.

Choose Your Tax Scheme

When creating your business, you can opt for the flat-rate income tax payment option (versement libératoire) if your reference tax income from year N-2 does not exceed the applicable threshold.

Otherwise, your profits will be included in your regular income tax return after applying a standard allowance based on your activity category.

Open a Dedicated Bank Account

This is not legally required if your annual turnover remains below €10,000 for two consecutive years, but it is strongly recommended.

Mixing business income with personal expenses on the same account is one of the easiest ways to lose track of your finances, especially when preparing tax declarations or during an audit.

Think About Insurance Coverage

Depending on your activity, Professional Liability Insurance (Professional Indemnity Insurance) may be mandatory and is always highly recommended.

If you cause unintentional damage while working for a client, your insurance policy will protect your business. This is not something you should overlook.

Ongoing Obligations You Should Not Forget

Once your business is launched, your responsibilities do not end there.

As a micro-entrepreneur, you must:

• Declare your turnover every month or every quarter through the URSSAF portal, even if your turnover is zero.
• Maintain an up-to-date income register.
• Issue compliant invoices.
• Monitor your VAT thresholds.

As long as you remain below the VAT exemption limits, you do not charge VAT. Once those thresholds are exceeded, the rules change.

Stay particularly vigilant here, as crossing a VAT threshold can happen more quickly than expected, especially during a successful year.

You should also prepare for the upcoming electronic invoicing reform.

From September 1, 2026, businesses must be able to receive electronic invoices through an approved platform.

The obligation to issue your own electronic invoices will come into effect on September 1, 2027.

This is a major change that should not be underestimated, and it is best to prepare as early as possible.

Simplify the Creation and Management of Your Business with 2iCS

Creating a micro-enterprise is quick. Managing it effectively on a daily basis requires much more discipline.

Monthly declarations, threshold monitoring, and tax obligations can quickly consume valuable time when you would rather focus on your business.

That is precisely why 2iCS developed its Micro-Enterprise Management service.

In practical terms, 2iCS takes care of:

• The complete creation of your micro-enterprise
• Your monthly declarations through a simplified portal
• Monitoring your turnover and VAT thresholds
• Sending personalized alerts when a threshold is approaching
• Assistance with URSSAF, VAT, and Business Property Tax (CFE) matters

The team also provides guidance on important long-term decisions, such as choosing the most appropriate professional liability insurance or evaluating whether a different business structure may be more suitable as your activity grows.

A dedicated advisor supports you at every stage, from launching your business to expanding it.

You no longer have to worry about administrative formalities.

Focus on what truly matters: your profession and your growth.

Ready to move forward with confidence? Speak directly with a 2iCS advisor today!

Contact a 2iCS Advisor