An EURL (Entreprise Unipersonnelle Ć ResponsabilitĆ© LimitĆ©e) is another type of one-person company, but itās a bit more stable and traditional than a SASU. Think of it as a solid, long-term option for business owners who want maximum protection.
Hereās the Deal:
Youāre the boss, but things are a bit more structured than in a SASU.
Your income comes from a salary, and you canāt easily split it into dividends like in a SASU.
You get better social protection, including unemployment benefits, in case things donāt go as planned.
Concrete Example:
Meet Sophie, a 20-year-old hairdresser who opens her own salon. She makes ā¬50,000 per year and pays herself a net salary of ā¬30,000.
Sheāll pay around 45% to 50% in social contributions (roughly ā¬13,500), but this covers everything: health insurance, retirement, and unemployment benefits.
š” Why This Is Great: If Sophieās business ever struggles, sheās eligible for unemployment benefits, giving her extra security.
Taxes in an EURL:
On your salary: Youāll pay social contributions of around 45% to 50% of your net income.
Good news: You can deduct business expenses like rent, utilities, and supplies to lower your taxable income.
š” If you want stability, EURL is ideal.
Liability and Risk:
Like a SASU, your personal assets are protected. If things go wrong, youāre only responsible for the share capital you invested in the company.
Social Protection:
ā
Full health coverage through the self-employed workersā system (doctor visits, hospital stays, medications) with coverage tailored to your professional needs.
ā
Retirement contributions based on your net income, offering a solid retirement plan.
ā
Unemployment coverage: If you close your business, youāre eligible for unemployment benefits, as long as youāve contributed enough.
š” Candosa Tip: If youāre looking for long-term security and peace of mind, an EURL is perfect for you. Itās especially good if you have high business expenses since you can deduct them to lower your taxes.