In France, according to the study carried out by INSEE, made public at the beginning of 2022, 995,900 individual enterprises (EI) will be created in 2021. Of these individual enterprises, micro-enterprises are 641,500, a part of 64.42 % of the counted constituencies. The Covid crisis seems to have encouraged the French to start their professional project because the number of micro-enterprises increased by 17% between 2020 and 2021. With so many companies created, some may wonder how create a micro-enterprise, what it is precisely, and the time required for its constitution. Explanations.
The micro-enterprise, definition
In the context of this article, it is a question of taking interest in the tax regime of micro-enterprises. First of all, it is important to note that the micro-enterprise includes both auto-entrepreneurs and micro-entrepreneurs since the merger of the two laws in 2014. From now on, only the micro-enterprise exists in the national territory.
A micro-enterprise is a simplified tax regime that benefits professionals who want to set up on their own to create a full-time craft, commercial or liberal professional activity or in addition to a salaried activity.
The status of the micro-entrepreneur is interesting because the formalities surrounding the creation of the activity, its management, payment of contributions and taxes, and the declaration of income are simplified. The self-employed person also benefits from an exemption or franchise from VAT.
The number of micro-enterprises created in 2021 is largely due to the ease of creating status, in a relatively quick time frame.
The declaration of activity
First, the freelancer must declare his activity to URSSAF. This process is very fast and actually allows you to register your company. Thanks to this legal existence, the entrepreneur can use his activity in the French territory.
To declare his activity, the self-employed person must complete the Cerfa P0 declaration of starting commercial and/or labor activity. This form asks for the identity of the future micro-entrepreneur, the address of his head office, his family situation, tax information, etc.
This form takes a few minutes to complete. This process can be done online, in the URSSAF auto-entrepreneur portal, which will then send it to the Business Formalities Center to obtain the SIRET number of the company created. Count 1 to 3 days if everything is complete, without errors.
Between 8 and 15 days, in general, the auto-entrepreneur receives his K-bis, indicating his SIRET number, directly at the address indicated on the P0 form.
Thanks to this number, the freelancer can legally start his activity, send quotes, invoice his clients.
This number is important because it is a legal mention of your activity. This number must appear on all official documents related to the created company.
If after a month of waiting, the micro-entrepreneur still does not receive his SIRET, he must contact the CFE where he depends.
Social Security for the Self-Employed (SSI)
Since the micro-entrepreneur legally becomes a self-employed worker, he must rely on Social Security for the Self-Employed.
Between 4 and 6 weeks after the declaration of his activity, he received a notification of SSI affiliation.
Upon receipt of this official document, the entrepreneur can create his online account.
Declaration of turnover
The principle of micro-enterprise is simple: if the entrepreneur does not receive a turnover, he does not pay a contribution, there is no tax.
However, he is not exempted from declaring his turnover according to the rhythm chosen when declaring his activity (monthly or quarterly declaration).
As a reminder, declaring your turnover consists of showing the amount of income from the activity of the micro-entrepreneur. Then follows the payment of contributions and taxes directly online, according to the indicated turnover.
The earliest declaration of the figure must be made within at least 90 days after the date of commencement of the activity. For an activity started on January 01, 2022, entrepreneurs can start declaring their income from April 02, 2022. Be careful to declare only what you have collected, to make it easier to pay what you owe, using the available funds.
Creating micro-entrepreneur status is very fast, as long as your file does not have any errors, that it is complete, that the supporting documents are suitable for organizations. From now on, all procedures are done online. Then you can closely monitor the progress of your request! In just a few weeks, you can start your activity legally, thanks to the registration number of your activity that proves your existence in the market.
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