Becoming an entrepreneur: the complete guide

What is an entrepreneur?

An entrepreneur is someone who creates, develops and manages a business. He or she often has limited resources and accepts financial risks in the hope of making a profit.

But there's more to being an entrepreneur than just the quest for high sales or a new social status.

An entrepreneur is :

• a risk-taker;
• a creative ;
• a good manager;
• a hard worker;
• the captain of his own ship.

Who can become an entrepreneur?

Anyone can become an entrepreneur, whatever their status: student, employee, retired or unemployed. All you need is an idea , a plan and determination.

Before becoming an entrepreneur, it is important to consider the following points:

• requirements for setting up a business;
• training to become an entrepreneur ;
• the skills needed to succeed as an entrepreneur.

Conditions for setting up a company

To create a company, the following 4 conditions must be met:

• be of legal age (over 18) or an emancipated minor over 16;
• have French nationality, be a citizen of a European Union member state or hold a residence permit (more specifically, a temporary residence permit for entrepreneurs and self-employed professionals) authorizing the exercise of a professional activity in France;
• not engage in an activity incompatible with your profession (for example, certain legal professions, such as court clerks, notaries, bailiffs and lawyers, are not allowed to engage in commercial activity);
• have the legal capacity to manage the business (not be under guardianship/guardianship or disqualified from managing or practicing for personal bankruptcy).

Training to become an entrepreneur

Training is essential to acquire or develop the skills required to run a business. Entrepreneurs often turn to an activity related to their initial training.

There are several training courses that can help you succeed in your entrepreneurial project, including the following:

• professional licenses in entrepreneurship ;
• Business schools ;
• MOOCs on entrepreneurship;
• Chamber of Commerce and Industry (CCI) training courses, etc.

And if you don't want to go back to school, you can take online courses on a wide range of subjects, including business management, marketing, sales and finance.

Skills for successful entrepreneurship

To succeed as an entrepreneur, it is advisable to develop certain key skills and to train in specific tools:

• marketing tools (SEO tools, CRM tools, emailing platforms, etc.) ;
• social networks (LinkedIn, Twitter, Instagram, Facebook, YouTube etc.);
• sales techniques (prospecting, negotiation, sales, customer relationship management, etc.) ;
• regulations applicable to your business (accounting, tax and legal obligations);
• Competitive intelligence (analyzing your competitors and market trends) ;
• developing your network (taking part in trade fairs and conferences related to your business);
• employee relations (motivation, leadership, team management).

What are the advantages of entrepreneurship?

There are many advantages to becoming an entrepreneur. Several arguments are regularly put forward by company founders to encourage them to become entrepreneurs: 

• be your own boss;
• manage your schedule ;
• realize his passion;
• expand your professional network ;
• create a company based on its own values.

To make starting a business more accessible, the French government has set up a single, simplified micro-enterprise scheme for entrepreneurs just starting out. Thanks to simplified procedures, you can get started without being overwhelmed by red tape.

TOP CFE

Paris 1 - Saint-Honoré

Paris 1

229 rue Saint-Honoré, 75001, Paris, France

4.98

24 per month

TOP CFE

Paris 2 - Columns

Paris 2

9 rue des colonnes, 75002, Paris, France

4.99

23 per month

TOP CFE

Paris 8 - Boétie

Paris 8

128 Rue La Boétie, 75008 Paris

4.96

29 per month

TOP CFE

Paris 8 - Champs-Élysées

Paris 8

66 Avenue des Champs-Élysées, 75008 Paris

5.0

29 per month

TOP CFE

Paris 8 - Ponthieu

Paris 8

49 Rue de Ponthieu, 75008 Paris

4.97

27 per month

Setting up a micro-business entitles you to the following benefits:

• streamlined accounting ;
• simplified administrative formalities ;
• basic VAT exemption ;
• exemption from CFE (cotisation foncière des entreprises) for the first year of business, etc.

What could be more advantageous than starting your business under the micro-enterprise scheme? And if you want to expand your business, the law allows you to change status and set up a company.

How to prepare your business project?

Preparing your project is an essential step before setting up your own business. To do this, you need to carry out a market study and draw up a business plan.

Conducting market research

Do you have a project in mind? Market research is essential to the success of your business creation project. Market research enables you to understand the needs of your target audience and market trends. It also enables you to analyze your idea and assess its viability.

Market research involves several stages:

• identifying market trends ;
• demand analysis ;
• market supply analysis ;
• analysis of the project environment ;
• the construction of your provisional budget.

Building a business plan

The business plan is an essential document for convincing investors to finance your project. It enables you to assess your company's costs and revenues, while anticipating risks and opportunities. It is also essential for defining your commercial and operational strategy.

The business plan consists of 5 elements :

• your presentation pitch ;
• presentation of your product or service;
• presentation of your business model (sales and marketing strategy);
• a summary of your market research ;
• a summary of your financial forecast.

How to become an entrepreneur in 6 steps?

Once you've built your business plan, you're ready to create your company. To do so, you need to follow these 6 steps:

• choose your legal status;
• register your company ;
• set up and deposit share capital with a bank ;
• draw up your articles of association;
• publish a notice of creation in a medium authorized to receive legal announcements (SHAL);
• register your company on the Guichet unique portal ;
• take out professional insurance;
• open a bank account dedicated to your professional activity.

What legal status should you choose to set up your business?

The first step in setting up a business is to choose your legal status. The choice of legal form depends essentially on your project and the needs of your business. To make your choice, you need to consider a number of factors: the number of partners (single or multiple), the amount of share capital, the tax regime applicable to the manager, and so on.

How can you finance your business start-up project?

There are many forms of business start-up assistance, but they are often little-known to entrepreneurs wishing to develop their business. However, they can help you finance your project with ease.

There are several options for financing your project:

• public assistance(ACRE, ARE, ARCE, etc.);
• bank loans ;
• subsidies ;
• crowdfunding ;
• investors, etc.

You can even use your own funds to finance your business start-up project, as is often the case for micro-entrepreneurs.

How much does it cost to become an entrepreneur?

To become an entrepreneur, you need to anticipate the cost of setting up a business. This varies according to the nature of your business and the legal status you choose:

• micro-business: the formalities for setting up a business are free, regardless of the nature of your activity;
• company (SAS, SASU, SARL, EURL): you need to allow for certain costs, which vary according to the nature of your business (commercial or craft). On average, you need to allow between €255 and €3000 to set up a company.

To find out all you need to know about current rates, visit the Guichet unique des formalités d'entreprises website.

You now have all the keys you need to embark on your entrepreneurial adventure! So what are you waiting for?