More and more people are entering the chauffeur-driven car market. Since 2008, this activity has been regulated by law, and it is necessary to be registered as a Company or Self-Entrepreneur in order to practice it. But like any other business, VTC drivers have access to commercial domiciliation, which offers them a number of advantages.

VTC definition

DEFINITION

A VTC, or Véhicule de Tourisme avec Chauffeur, has the same role as a cab : it allows you to travel from point A to point B, by car and with a driver.

However, there are some notable differences with traditional cabs.

First of all, VTCs don't have a light on the roof. This makes them less easy to spot, which can be appreciated by customers wishing to travel discreetly. They also differ in terms of fares, how they are booked (via an app like Uber or Heetch, for example), and comfort and services (bottled water, newspapers and treats are often on board VTCs).

From a driver's point of view, costs are much lower (€170 every 5 years, compared with tens of thousands of euros for a cab license). Most drivers are auto-entrepreneurs, but setting up a company can quickly become an attractive option.

The case of auto-entrepreneurs

It's much easier to start a VTC business as an auto-entrepreneur

In fact, the declaration, which is free of charge, is made online and only takes a few minutes. In this case, you only pay contributions on your sales: if you have no income, you pay nothing. What's more, you're eligible for micro-tax status, which allows you to reduce your social security contributions. Finally, you can combine these advantages with ACRE to drastically reduce your contributions during the first few years.

However, auto-entrepreneur status quickly becomes an obstacle to the company's development. First of all, you can't exceed annual sales of €32,900. Secondly, you can't deduct your expenses (gas, car hire, etc.) from your contribution, as the calculation is based on your sales rather than your profit. Another major disadvantage of this status is the impossibility of being reimbursed for VAT on these investments. This represents a significant amount for chauffeured car drivers.

Legal entities (SARL, EURL, SASU, SAS...)

As your business grows, it may become worthwhile to join forces with other drivers or recruit new VTC drivers. Similarly, when your sales reach €32,900 or your costs become too high, setting up a company becomes essential.

Several legal forms are available, but SAS (Société par Actions Simplifiées) and SASU (Société par Actions Simplifiées Unipersonnelle) are the most popular among VTC drivers. These two types of company are highly flexible, giving you all the advantages of a company (VAT refund, deduction of expenses, etc.).

To transfer your company's registered office, you will need to provide a number of documents

  • Decision authorizing the transfer of the registered office and the updating of the bylaws
  • Articles of association up to date of transfer of registered office certified by the legal representative
  • List of successive offices since the company was founded
  • Commercial domiciliation contract
  • Legal notice of transfer to the jurisdiction of the new registry
  • An M2 form, duly completed and signed by the legal representative or his proxy

The advantages of commercial domiciliation for VTCs

Commercial domiciliation for VTCs offers a number of advantages

Firstly, it can help you reduce your CFE (Cotisation Foncière des Entreprises). This contribution is set locally, and can vary greatly from one city to another. You can sometimes save several hundred euros a year by choosing a business address in Paris.

What's more, it allows you to really separate your private life from your business life. It's generally not a good idea to make your private contact details public, as is the case when your company is domiciled in your private home.

Finally, commercial domiciliation for VTCs gives you a number of advantages offered by domiciliation companies like SeDomicilier. These include mail management and telephone answering services.