The NAF code (or APE code) has above all a statistical function. It's made up of four digits and one letter, in line with the French national statistical nomenclature of activity. It is defined by INSEE when your company is created, according to the type of activity declared.
It is important to note that it is not the NAF code that determines the activities carried out by the company, but those listed on the RCS extract. The NAF code is important because it must appear on all employees' pay slips.
If a company has several different trades, its NAF code is determined according to the number of employees per branch. The largest branch is used to determine the NAF code for the entire company.
What's the difference with the APE code?
It's exactly the same code. Why two different names? It's all a question of naming. The "APE code" is the old name for the NAF code.
NAF stands for Répertoire de la Nomenclature d'Activité Française. Each professional activity has its own code.
Let's take an example. You run a convenience store. How do you find out your NAF code? Start by examining the different sections. Section G "Commerce" is the right one. Next, division 47 "Retail trade" applies to you. In the following groups and classes, select "Retail sale in non-specialized stores" and then "Predominantly food-oriented: Subclass: 47.11C Supérettes". Your NAF code is therefore 4711C.
Please note that the NAF code has no legal value. In the event of an inspection, the activity actually carried out in your company will be decisive.
What is the purpose of a company's NAF code?
The NAF code enables INSEE to carry out a number of statistical and economic studies by sector of professional activity.
It also enables company directors to find out which collective bargaining agreement applies to their sector of activity, particularly when dealing with the industrial tribunal.
The NAF code is assigned by INSEE when the company is created. A company with several activities determines its NAF code according to the branch of activity with the most employees. The NAF code is assigned according to the company's corporate purpose, as defined in its articles of association.
The NAF code must be modified in the event of a change of activity, to correct an anomaly or in the event of double registration (2 SIREN and 2 SIRET).
To change your NAF code, you need to contact the Center de Formalités des Entreprises (CFE) nearest to your head office. You'll need to fill in the dedicated form published by INSEE before submitting your complete file.
The public authorities will notify you of the change in your NAF code within 4 to 6 weeks. You need to make sure that your APE code really does correspond to your company's main activity, so that you don't lose out on a contract.
Determining the NAF code depends on the correct drafting of your articles of association.
This is why we recommend that you call on the services of a professional (chartered accountant, statutory auditor, notary, etc.), to ensure that this document is clear, both for legal and tax purposes.
Written by our expert Paul LASBARRERES-CANDAU
November 16, 2020
