Thank you Clair and Gemini_man for a detailed and helpful reply. I am grateful to you both. But I was rejected on not having a cds at the time of entering France in 2004. My application was first made in July 2006, before considering going into business. Going into business we agreed would be the only solution for both of us to work properly to obtain a reasonable standard of living in France. I am also reluctant to apply via the AS as I would prefer our financial status to remain private - I say this on remarks that goes by in our village (those who are on RMI are often talked of) - I know we should'nt mind, but I do. Does dealing with CAF directly cause a problem? And I assume that working in France without pay for several months would allow us to qualify for RMI further down the road assuming our levels of income were still below the plafond. What is the level of the plafond? As it will be a while before accounts are prepared. To complicate matters a little, the company was incorporated in the UK, as we felt we did not comprehend the french laws and french company regulations sufficiently well to be responsible for a french company. We would rather pay the extra costs this may or may not involve whilst we live in France, declare our incomes for tax purposes over here. Thank you once again for your generous comments and information. Gillian.