Can an existing micro entreprise become an auto entrepreneur?

By Valérie Aston on 10 December 2008 · Viewed 3797 times · Questions

This is the most recurrent question I have come across over the last 2 months. The official answer is no, but you still can switch over to the regime micro social until the 31st march 2009. This regime actually enables you to pay your social charges based on a fixed rate of your actual turnover as per the auto entrepreneurs.

The loi de modernisation de l’economie has reviewed the Regime Micro Social system which was created in march 2007 and has up-dated it to match the auto entrepreneur system. So how does it work? From 1st January 2009, you will be able to declare and pay your social charges on a monthly or quarterly basis, based on your actual turnover. Your social charges will represent 12% of your turnover for trade, food and accommodation and 21.3% for services.

So how can you switch over to the regime micro social? Get in touch with the Regime Social des Independants (RSI) or complete the auto entrepreneur form online as the internal procedure of the RSI consists in closing your business down to restart it as an AE. Complete the 1st part of the form with the details of your existing company (SIRET). The new account will still be using the same siret number, but social charges will then be based ona fixed rate as per the AE scheme.

Now bare in mind that if you have created your company let say in January 2008, you currently pay your social charges based on a forfait (set amount). This means that you should have paid about 3,000 euros for a full year, but you will have a rappel de cotisation to pay by September or October 2009. This remaining lump sum will be calculated on your actual turnover for 2008. So even if you move to the regime micro social, you will still have to pay that lump sum in Q4 2009. If you have any doubt, call the RSI; they will confirm how much that lump sum is, once you have confirmed your turnover for 2008.


Valerie Lemiere: Start Business in France

About the author: Valérie Aston

I've been helping people who want to start or already have a small business set up in France since 2009. After graduating from a Master of Business Administration (MBA) degree, I worked as a senior marketing consultant in the UK and France for various International companies. I worked as a conseillère en création d'entreprises (senior business advisor) for BGE here in France and run this independent business on a daily basis.