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Partnership? Employee? Sole Trader?...


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First of many Q's, I imagine.

Friends have purchased a house with a view to converting into a chambres d'hote. However, their personal circumstances mean that they would not be in a position to run such an affair for the next few years.

I am in a different position with regard to my own circumstances and they have approached me to consider running such a venture. Aside from the many practical issues re. running the business (I have a robust and well rounded C.V. that allows me to think I can cope with this.) -

My first question is does anyone know how this kind of potentially ad-hoc arrangement could/would work with regards to legal/taxe/social security etc.

thanks for taking the time.

Francis d.

www.buttlefly.net
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Hello

I'm suprised nobody has replied to this, so I will give it a go;

I am not in the B&B/Gite business.

However, as I understand it, there are few legal formalities for running a B&B (remarkable for France) - especially if it is one's place of residence (I believe that there are even more advantages for women running B&B's in the family home). A B&B can be a maximum of 4 (or is it 5) letting rooms, I believe.

But, if you were to form a "business" to run a B&B, then you would be involved in the payment of huge amount of social charges, which I reckon would render it unworkable. There is no concept of  "partnership" in France, all are registered as individuals, or you form an SARL, with all the encumant paperwork.

Similarly, no "ad-hoc" scheme would be legal in France. Employing people is VERY expensive here and there in no concept of "casual" labour.

You need the advice of a good accountant (in France) and a very robust business plan. I would look very hard at whether you can make it work, given that the market in most of France is swamped and standards (and hence costs) are increasing significantly.

 

 

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Thanks for reply... was beginning to think some forum 'faux pas' had been commited.

I don't plan to rush into this situation without taking advice and also taking a very 'real' view as to the potential. Am fortunate that the chambres d'hote wouldn't be my sole source of income.

But appreciate your taking the time to respond.

Till the next question...
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