If you have a business and your intention is to expand it in other countries or if wonder which the best place to start a new one, our best recommendation is to choose France. France can be considered a very well developed place, thanks to the fact that its economy has increased a lot lately. And if you are not convinced yet, here they are some reasons to change your mind.
Don’t worry about VAT!
It is true that VAT (which comes from value added tax) is one of the most important aspects when it comes to starting a new business in France, but despite other places, French authorities only asks you to pay a 20% rate. Not to mention the fact that some products such as food, books, newspapers and even restaurants or cultural events have a lower VAT rate. Moreover, it is not the lowest rate that you have to pay in Europe, but it is lower than in other countries such as Finland or Denmark.
But make sure that you don’t forget about French VAT registration. And if you ask yourself when you obligated to register for VAT, here they are some of the most common situations: when you intend to import goods into France from an outside EU destination; when you buy or sell goods in France (but there is an exception here and it is called domestic reverse charge); when you have a business in France and you deliver your goods to customers which live outside this country; when you hold an inventory in France, no matter if it is for distribution, sale or something else.
Competition makes you stronger!
There are lot of companies in France, but experts from this domain claim that there is enough space for everyone. For a better understanding, there are more than 20 000 companies which have their headquarters in this country and the main idea is that you will probably have to face the competition. But don’t worry.
Competition only makes you stronger. It has the role to determine you invest more in your own company and to come with better marketing strategies. Not to mention the fact that France is one of the largest countries in Europe, with a surface of over 215,000 miles2. Moreover, you have to notice that France shares its borders with others famous countries for their well-developed economic situation such as Germany or Belgium. This means that you can start your business here and then expand it to other regions.
One of the most diversified market!
Despite its good location, France can offer you another advantage which you should definitely take into consideration: its high population. According to studies, in 2013 there were more than 65 million people who were living here. Also, in the last period experts say that the number of immigrants has increased a lot. This means that you have one of the most diversified markets and you can offer them a large variety of products and services. Furthermore, if you decide to open your business in a popular tourist destination such as Paris or Lyon, you will see that your clients’ number will become even higher.