SASU vs EURL: Best Solo Founder Structure in France

For a single founder in France, the binary choice is SASU (Société par Actions Simplifiée Unipersonnelle) versus EURL (Entreprise Unipersonnelle à Responsabilité Limitée). Both offer limited liability. Both can be formed with €1 capital. Both file through the Guichet Unique. But the social-security treatment of the director — and therefore the founder’s net remuneration — diverges by roughly 30 percentage points. This article compares them across the eight axes that actually matter to a solo founder.

1. The Statutory Foundations

A SASU is governed by Code de commerce art. L.227-1 al. 2 — a SAS with one shareholder. All SAS rules apply except those that require a plurality.

An EURL is governed by Code de commerce art. L.223-1 al. 2 — a SARL with one partner. All SARL rules apply with the simplification that décisions de l’associé unique replace assemblées générales.

Both are recognised under Code civil art. 1832-1 al. 2 since the 1985 reform.

2. Director Social-Security — The Big Number

This is the decisive axis for solo founders.

SASU Président is assimilé salarié under Code de la sécurité sociale art. L.311-3 — affiliated to the URSSAF régime général. Total social charges on remuneration: roughly 80% of net (employer + employee combined).

EURL gérant (when also the sole partner) is TNS — Travailleur Non Salarié — under CSS art. L.611-1. Total social charges on remuneration: roughly 40–45%.

Practical translation: a founder paying themselves €40,000 net per year via a SASU pays roughly €30,000 in social contributions. The same founder via an EURL pays roughly €17,000. Annual delta: ~€13,000.

Source: https://www.urssaf.fr (barème cotisations)

3. Coverage Quality

The cost gap reflects a coverage gap.

• URSSAF régime général (SASU): standard salaried-equivalent coverage — illness, maternity (16 weeks), accident du travail, retraite générale + AGIRC-ARRCO, no chômage on mandate-only remuneration.
• SSI (EURL TNS): thinner illness/maternity cover; lower retirement contributions for equivalent income; no chômage. Maternity cover is statutorily inferior to régime général.

For founders planning a family in the next 3 years, the SASU cover advantage may offset the cost.

4. Tax — Default and Optional Regimes

Both forms default to impôt sur les sociétés (IS) under Code général des impôts art. 206. Standard rate 25%; reduced rate 15% on the first €42,500 of profit for SMEs meeting CGI art. 219 I-b.

EURL only: if the sole partner is a natural person, the EURL is by default subject to impôt sur le revenu (IR) under CGI art. 8 — pass-through taxation in the BIC/BNC category. The EURL may opt for IS irrevocably (CGI art. 206-3).

SASU: always IS by default; may opt for IR for up to 5 fiscal years if the qualifying conditions of CGI art. 239 bis AB are met.

For a founder still ramping revenue (loss-making year 1), the IR option in either form lets losses offset other personal income — a meaningful cash advantage at the start.

5. Dividends — Distinct Tax Treatment

This is the EURL’s hidden trap.

For an EURL gérant majoritaire, dividends paid to the sole partner are subject to social contributions (SSI) on the portion exceeding 10% of capital + share account balances + average dividends loaned to the company (CSS art. L.131-6). This effectively closes the dividend loophole that some founders use to reduce social charges.

For a SASU Président, dividends are subject only to the prélèvement forfaitaire unique (PFU) at 30% (12.8% IR + 17.2% prélèvements sociaux) under CGI art. 200 A. No URSSAF charges on SASU dividends. This is the major advantage of SASU for founders extracting profits.

The arithmetic: if you pay yourself little salary and a big dividend, SASU wins. If you pay yourself a normal salary and reinvest profits, EURL wins.

6. Bookkeeping and Reporting

Both forms must keep accounting records under Code de commerce art. L.123-12 and approve annual accounts within 6 months of FY-end.

EURL accounts are filed at the greffe within 1 month of approval (2 months online) under L.232-21. The same for SASU.

Both qualify for the small-company confidentiality option under L.232-25 if they meet the thresholds (balance < €350K, revenue < €700K, fewer than 10 employees).

CAC threshold (Décret 2019-514): both forms become subject if 2 of 3 thresholds exceeded — balance €5M / revenue €10M / 50 employees.

7. Conversion Path — One-to-Many

A solo founder may convert as the company grows.

SASU → SAS: seamless. Adding a new shareholder is decided by the sole associé under L.227-9 al. 4, statuts updated, no fundamental change of regime. Simple.

EURL → SARL: also seamless under L.223-1 al. 2 — the second associé joins, statuts updated, gérant social-security regime may shift from majoritaire (TNS) to minoritaire (assimilé salarié) depending on the new shareholding split.

EURL → SASU: requires transformation under Code de commerce art. L.224-3. Decision of the sole associé, registration of in-kind contributions if applicable, JAL notice, Guichet Unique filing. Cost ≈ €500.

8. Drafting Complexity

EURL bylaws are shorter and simpler because Code de commerce art. L.223-1 et seq. fixes most rules. A 6–10 page template suffices.

SASU bylaws are longer and more flexible. Even for a one-person company, art. L.227-9 requires drafting collective-decision rules (here unilateral), reserved-decisions list, and the Président’s powers. A 20–30 page template is normal because investors entering later will demand sophisticated clauses.

If you anticipate raising venture capital within 24 months, draft SASU statuts as if there were already five shareholders — rewriting later is more expensive.

9. The Decision Tree (2026)

10. Practical Setup Workflow

Both follow the standard incorporation sequence:

1. Pre-formation: name search via INPI + RNE (https://data.inpi.fr/registre-national-des-entreprises/);
2. Capital deposit: bank or notaire issues attestation de dépôt (≤ €1,500 typical);
3. Sign statuts in writing (Loi 94-665 — French language);
4. Publish JAL notice within 1 month of signing — SAS ~€193, SARL ~€144 (Arrêté du 19 novembre 2025);
5. Guichet Unique filing — INPI fee €37.45 + DBE €21.41;
6. Receive Kbis in 5–15 working days;
7. DBE filing within 30 days of Kbis (C. mon. fin. art. L.561-46);
8. Open business bank account;
9. Tax option election within 3 months if needed (CGI art. 239 bis AB / AA).

11. Common Mistakes

• EURL with TNS gérant paying €0 salary just to take dividends: fails since CSS art. L.131-6 brought dividends >10% capital into TNS contributions in 2013.
• SASU founder forgetting to declare zero remuneration: even with €0 salary, URSSAF DSN must still be filed monthly to avoid escalating reminders.
• Either form forgetting DBE within 30 days of Kbis: automatic 6-month / €7,500 penalty under C. mon. fin. art. L.574-5.
• Bank-account opening rejected on KYC grounds: Code monétaire et financier art. L.561-5 lets banks refuse without explanation. Online challengers (Qonto, Shine) are typically more flexible than retail banks.

The right answer is rarely binary. Many solo founders begin as EURL while ramping revenue, then convert to SASU when they raise their first round. Plan the path now to avoid expensive conversions later.

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Sources

1. Code de commerce art. L.227-1 (SAS/SASU) — https://www.legifrance.gouv.fr/codes/article_lc/LEGIARTI000038799575/
2. Code de commerce art. L.223-1 (SARL/EURL) — https://www.legifrance.gouv.fr/codes/section_lc/LEGITEXT000005634379/LEGISCTA000006146044/
3. URSSAF — taux et barèmes — https://www.urssaf.fr
4. Guichet Unique — formalités — https://formalites.entreprises.gouv.fr/
5. Service-public — SAS overview — https://entreprendre.service-public.fr/vosdroits/F37366