Open Limited Liability Sole Proprietorship (EIRL) in France

The limited liability sole proprietorship (EIRL) was a sole-trader status with a separate business estate (not a separate legal entity) created for individuals who wanted to start their own business activity. However, this company type is no longer available, as the legislation modified in 2022 and changed the EIRL into an EI (Enterprise Individuelle). Therefore, if you want to start a business in France in 2026, the EI is the main option, provided that you want to operate as a sole trader (the EI is the French equivalent of this type of business structure).

Please mind that starting with 1st of January 2026, third party foreigners (non-EU/non-EEA) who apply for a first multi-year residence permit, a resident card or French naturalisation must pass a civic exam (on the rights and obligations of individuals living in France, the principles of the French society, etc.).

French economy explained in a few lines

Among the benefits of developing a business in this country are the stable business climate and the positive economic direction. Let’s review some information in this regard:

• France registered an economic growth of around 1.1% in 2024.
• Inflation in France eased to 2.0% in 2024 (INSEE consumer price index). It then fell to 0.9% in 2025.
• The 1.1% GDP growth in France was mostly sustained by foreign trade, one of the motors in terms of the economy.
• Economic growth was around 0.9% in 2025 in France, and the Banque de France expects only about 0.4% in 2026 (September 2026 projections).

For the complete offer of our legal services for your company you are invited to contact our law firm in France. You may also discuss all the legal aspects with our team when deciding on buying a house in France.