France is a world economic power. It is the 7th largest economy in the world and attracts many foreign investors. A foreign investor who wishes to settle in France alone or with his family is issued an economic residence permit.The economic residence permit is a residence permit issued abroad for economic reasons.
There are 3 types, each subject to specific criteria.
The " Passeport talent - mention Investisseur économique" residence permit provided for in article L313-20 7 ° of the CESEDA (Code de l'entrée et du séjour des étrangers et du droit d'asile).
This is a renewable 4-year residence permit granted to foreign, non-EU investors who want to settle in France and who meet the following three conditions:
- He must make a direct economic investment either personally or through a company he manages or through a company in which he holds at least 30% of the capital. He must justify the personal management of a company or the holding of at least 30% of the capital of a company he manages;
- It must also create or safeguard, or undertake to create or safeguard, employment within four years following the investment in French territory. He must therefore provide a business plan specifying the annual job creation and the investment plan;
- He must also make or undertake to make on French territory an investment in tangible or intangible assets of at least 300,000 euros. He must then, in the event of an investment in equity, provide a certificate of deposit of equity in a personal or professional account held by a banking establishment in the European Union, or in the case of investment in borrowed funds, justify d '' a loan agreement from the credit institution.
Direct investments are understood as investments in social capital, reinvested profits or "loans between affiliates". Excluded from this system are exclusively financial investments.
The investor's family also automatically benefits from a renewable 4-year residence permit marked "passport talent famille". This residence permit authorizes its holder to work in France.
If the investor is abroad, he must apply for a long-stay visa bearing the words "Passeport Talent Investisseur" from the French consular diplomatic authorities of his place of usual residence.
Business France, present in 124 countries around the world, supports foreign investors for the success of their projects in France.
If the investor is already in France, he must request a change of status to obtain the mention " Passeport talent - mention Investisseur économique " residence permit from the prefecture of his place of residence.
The "Passeport talent - mention création d'entreprise ", residence permit provided for in article L313-20 5 ° of the CESEDA.
It is a 4-year residence permit from the first issue. It is issued to foreigners who want to create a business on French territory. The foreign business creator, who is not a national of any country or of the EU, EEA or Switzerland, must meet the following conditions:
- Hold a diploma at least equivalent to the master's degree, or justify professional experience of at least 5 years of a comparable level;
- Justify an investment of at least 30,000 euros in the business project in own or borrowed resources;
- Present a real and serious business creation project in France, economically viable. He must therefore present the business creation plan, a business plan and a multi-year budget estimate;
- Proof of means of existence corresponding to the gross annual minimum wage, i.e. 18,473 euros as of January 1, 2020;
- Provide an extract from the criminal record or equivalent document from the country of which he is a national or if the business creator already resides in France, a tax status slip relating to the payment of income tax in France;
- If applicable, justify his capacity to exercise the commercial, industrial or artisanal activity envisaged
The family of the business creator also benefits as of right from a multi-year residence permit bearing the words "Passeport Talent Famille" without going through the cumbersome family reunification procedure. This residence permit authorizes its holder to work.
When the business creator resides outside France, he must apply for a long-stay visa bearing the words "Passeport Talent". The visa is then issued to him by the French consular diplomatic authorities of his place of usual residence.
However, if the business creator already resides in France with another residence permit, depending on the residence permit he has, he may be required to change his status.
This is particularly the case of people holding a residence permit marked "student" or "employee".
For foreigners holding a resident or long-term EU resident card, a 10-year residence certificate issued in certain cases to Algerian nationals or a residence card bearing the mention "private and family life", they will not need a change of status.
The residence permit bearing the mention "entrepreneur/profession libérale" provided for in article L313-10 3 ° of the CESEDA.
It is a residence permit for an annual and renewable period. It is issued to foreigners who cannot claim a "talent passport" residence permit and who wish to set up a business in France.
To be eligible, the applicant must provide proof of:
- the existence of a real and serious business creation project in France, economically viable;
- an activity compatible with safety, health and public tranquility;
- sufficient means of existence with resources corresponding to the minimum wage, i.e. 18,473 euros on January 1, 2020.
If the law does not impose a minimum amount, the condition of the economic viability of the project requires the foreigner to prove that his project is economically viable. He must then provide the administration with very detailed supporting documents.
The foreigner presents in detail his creation project (nature of the activity, potential market, existing competition) with a business plan and a multi-year estimated budget.
He must also prove that he has the necessary resources to start his activity or the possibility of external support (family for example).
He must also demonstrate the remunerative nature of his project by justifying that the activity can bring him income at least equivalent to the minimum wage.
It is important to note that the administration strongly takes into consideration the match between the project and the skills or experience of the applicant.
If the applicant resides abroad, the French diplomatic consular authorities of his place of usual residence are competent to issue the long-stay visa equivalent to a residence permit (VLS-TS) marked "Entrepreneur / Profession Libérale".
This VLS-TS visa is valid for 12 months and authorizes its holder to exercise a commercial activity.
On the other hand, when the applicant already resides in France under cover of a residence permit marked "student" or "employee", he must request a change of status from the prefecture of his place of residence.
The person concerned will then be issued with a temporary "Entrepreneur / Profession Libérale" residence permit valid for one year, renewable.
Whatever option is chosen, it is recommended to use a specialist lawyer who will be able to advise you in the best possible way to present a case with a chance of success. With Brexit, France becomes a privileged gateway to establish itself in the Schengen area. Now is the time to choose France, known for its art of living and its efficient health and education systems.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.