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Running the gite under a company name or an enrepeuneur title?


glacier1

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Hi there

I'm confused and I was wondering if I could ask of the benifits of running a B&B + Gite under a company name (PLC), or as an entrepeneur (spelling?).  I have spoken to the accountant, and all I want is:-

1).  Reduce the risk of direct legal action affecting my house (in the case of legal cases due to falls, people suing me personally)

2).  Reduce tax

3).  Lastly but not less important....health benifits.  I want to be fully covered plus my mother too whom will will be working for me.

Please could you advise me as to which direction I should take because I do not want to sing on the dotted line and then find out that I've done the wrong thing for me personally.

Thanks a lot

David

Drome

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I suggest you start by watching all the videos on this site:

http://thenakedaccountant.wordpress.com/10-questions-to-start-up/

I'm not an accountant, but as far as I can see

1) can be covered by a combination of insurance to cover accidents, etc. plus a 'declaration d'insaisissabilité' that your notaire can sort out.

2) for most people in France the important thing is reducing cotisations (equivalent to NI in the UK) because they are generally much heavier than taxes.

3) If you are registered correctly and your mum is properly declared as an employee then you'll both get health benefits.

Extra questions:

How old is your mum and does she qualify for a UK old age pension?

How much are you expecting to turn over in a year? This is important for certain options.

Do you, or she, have any other income.

Just as a general comment, some bite/B&B operations are doing well this year and some are really suffering. If this is a new venture, are you sure it will produce the income you expect?

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Thanks a lot for your help!  I am going to watch the video now, but before, I will answer some of the questions you asked.

My MAIN objective is reducing cotisations + providing health benifits. 

My mother will be 58 on March the 5th, so it's not pension age, otherwise I wouldn't be worrying about this.

How much will I earn a year, I have no idea!  I am just going to launch it, and see how well it goes.  Can anybody in this financial climate estimate with any degree of accuracy how much we will earn?  I am not in the sticks, I am pretty much near all the good stuff that tourists come to visit + I am near the A7 and the N7 which is good for access. 

We have no other income, it's just going to be this.  I shall watch the video you posted now, thanks for this.  You know, the chambre de commerce weren't very helpful, they should answer these questions, but they just told me to create my business and that's it.  Charming!

Cheers

David

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Hahahahaha, what a good video! :D made me laugh with the bottle of wine in the end! [:P] . Funny my accountant told me one of two things.  Entrepeneur, or SARL.  I did look seriously with SARL but the charges scare me......what's best! help!  I think I'm going to crack open a bottle of red just to try and clarify all this information! [:D]

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I just watched all the videos there!  I'm so happy someone like that takes time out to help others! [:)] I am going to start up an entrepeneur business.....it's the easiest!  At least for the begining!  If ever I have to change my "title" I can do so at a later date! :)

Cheers for the link!

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