As an experienced advisor to French entrepreneurs, I know that auto-entrepreneurs can end their activities anytime, exiting the micro-social and micro-fiscal regimes. This process is straightforward and typically quick.
Closing your auto-entrepreneur business often stems from transitioning to a commercial company or simply halting micro-enterprise operations. In every case, follow the precise procedures tailored to your situation. Below, we outline the key steps based on real-world practices.
Ready to permanently close? Notify the Business Formalities Center (CFE) promptly to end periodic reporting. Options include online declaration via the Guichet Entreprises website or mailing a completed form with ID proof to your CFE. Submit within one month of cessation—it's final and free.
Afterward, settle final social contributions by declaring turnover on time. Complete tax form No. 2042 within two months. You're exempt from Cotisation Foncière des Entreprises (CFE tax) post-cessation; request relief from your local tax office (SIE) that year.
Failure to declare closure means your business persists officially, triggering ongoing obligations and potential penalties. Nil turnover for two consecutive years risks automatic revocation.
Auto-entrepreneur status suits startups but limits growth. For expansion, consider shifting to an entreprise individuelle (sole proprietorship) or EURL/SASU.
To convert, first close your auto-entrepreneur status using the above procedure, then register the new entity. Note: You can't combine auto-entrepreneur status with majority manager roles in EURL or SASU.
Temporary closure pauses operations without full deregistration—ideal for breaks. It's limited to one year for sole traders, renewable once for commercial activities.
Contact your CFE to initiate; they'll amend your RCS (Trade and Companies Register) or RM (Trades Directory) entry. Benefits include no turnover declarations or contributions during suspension. Fees range from €80-100.
At term's end, reactivate via CFE amendment or close permanently. Inaction may lead to automatic strike-off.
Since January 1, 2018, turnover thresholds doubled: €170,000 for goods sales, €70,000 for services. Exceeding for two years auto-deregisters you from micro-regime, converting to standard sole proprietorship without action.
Your INSEE APE code reflects primary activity. For changes, no need to close and restart—simply request your CFE to update the code.
Cessation presumes if no tax returns filed for two years, even with zero/low income—file annually.
Upon the entrepreneur's death, heirs/third parties must send a death certificate to auto-entrepreneur Social Security for deregistration, benefits recovery, survivor's pension, and death benefits.
Mastering these procedures ensures smooth closure, whether stopping permanently, evolving your business, or pausing. Always assess impacts before proceeding—consult experts for personalized advice.
