10 Common Mistakes Expats Make When Starting a Business in France

→ Learn from the experience of others to avoid pitfalls and frustrations.

Starting a business in France can be an exciting adventure. With its café culture, stunning landscapes, and generally high quality of life, France is a dream location for many aspiring entrepreneurs. However, despite the appeal, it’s not without its challenges, especially for expats unfamiliar with the French system.

From bureaucratic red tape to underestimating cultural nuances, there are several common pitfalls that can make or break your entrepreneurial journey. The good news? Many of these mistakes are avoidable if you know what to watch out for.

Here are 10 of the most common mistakes expats make when launching a business in France and how you can avoid them.

1. Underestimating French Bureaucracy

France is known for its paperwork. And while things are slowly modernising, bureaucracy is still a major part of starting and running a business here.

The mistake: Many expats assume the process will be as straightforward as in their home country. They don't allow enough time to set things up or fail to gather the necessary documents.

What to do instead:

✔ Research the business registration process thoroughly.

✔ Use official websites like Guichet-entreprises.fr or speak with a business advisor.

✔ Consider hiring a French accountant or legal expert to help you navigate the red tape.

2. Choosing the Wrong Business Structure

France offers multiple legal statuses for businesses—Auto-Entrepreneur, SARL, SAS, EI, etc.—and choosing the wrong one can lead to unexpected tax burdens or limit your business’s potential.

The mistake: Jumping into the Auto-Entrepreneur (Micro-Entrepreneur) status without understanding its income limits and exclusions.

What to do instead:

✔ Speak to a financial advisor or accountant who can explain which structure best fits your business model.

✔ Consider your long-term goals and whether you plan to hire employees, seek investment, or scale.

3. Not Speaking French (or Not Making an Effort)

You don't need to be fluent, but having basic French skills—or showing willingness to learn—goes a long way.

The mistake: Relying solely on English, assuming it will be “fine.”

What to do instead:

✔ Take French lessons, especially those focused on business vocabulary.

✔ Translate key documents and communications.

✔ Use professional interpreters when needed, particularly in meetings with officials.

4. Failing to Understand Tax and Social Charges

France’s social security and tax systems are complex and significantly different from those in countries like the UK or US.

The mistake: Thinking you only need to pay income tax. Many are caught out by the additional “cotisations sociales” (social contributions) and TVA (VAT).

What to do instead:

✔ Get a clear understanding of the full tax and social charge implications.

✔ Set aside enough monthly income to cover all eventualities.

✔ Work with an expert to help with forecasting and quarterly declarations.

5. Not Registering Properly or on Time

In France, even informal business activities often require registration. Some expats begin offering services before formalising their business, which can land them in hot water.

The mistake: Operating without a SIRET number or thinking “just testing the waters” is allowed.

What to do instead:

✔ Register even if you’re only planning to earn a small amount.

✔ Use platforms like URSSAF or consult your local Chambre de Commerce for guidance.

6. Assuming French Business Culture is the Same

France has its own etiquette and professional norms, from the way emails are written to how meetings are conducted.

The mistake: Using overly casual communication or expecting fast decision-making.

What to do instead:

✔ Learn a little about French business culture—hierarchies, formalities, and expectations.

✔ Adapt your communication style to fit the setting.

✔ Be patient—relationship-building can take time.

7. Ignoring Regional Differences

France is highly regional. What works in Paris may not work in Provence or Brittany.

The mistake: Choosing a location based on aesthetics or property prices without researching the market.

What to do instead:

✔ Investigate the local economy and demand for your services.

✔ Speak to locals and expat business owners in the area.

✔ Rent before you buy to test out living and working in the area.

8. Misjudging the Time It Takes to Become Profitable

It can take longer to gain traction in France, especially if you’re still adjusting to the language and business environment.

The mistake: Not having a financial buffer or expecting overnight success.

What to do instead:

✔ Build a detailed financial plan with a 12–24 month runway.

✔ Look into grants, loans, or support schemes for small businesses.

✔ Diversify income streams where possible—consulting, online sales, etc.

9. Neglecting Networking and Integration

In France, personal connections often play a significant role in business success. Many new expats forget to invest time in community engagement.

The mistake: Staying in the “expat bubble” or relying solely on online marketing.

What to do instead:

✔ Attend local business events, even if they’re in French.

✔ Join the Chambre de Commerce or local entrepreneur groups.

✔ Get involved in local activities, sports clubs, or volunteering—it all helps!

10. Trying to Do It All Alone

Setting up in a new country is tough enough. Trying to handle every aspect of your business solo can lead to burnout and costly mistakes.

The mistake: Not seeking support, assuming professionals are “too expensive.”

What to do instead:

✔ Build a support network—accountants, translators, fellow entrepreneurs.

✔ Ask for help. Many French systems have free or low-cost support.

✔ Join online forums or social groups for business owners in France.