France blends a 67–68 million consumer base with world-class infrastructure, deep capital markets, and a thriving innovation scene. Corporate income tax is 25% and standard VAT is 20% (reduced rates of 10%, 5.5%, and 2.1% apply). Paris, Lyon, and Marseille anchor diverse demand across luxury, aerospace, green industry, fintech, healthtech, logistics, and deep tech. If you want a smooth landing, combine a clean French operating company with robust cross-border banking and management via Damalion. You get speed, compliance, and a network that understands investors.
Why choose France for your European expansion?
Because the economy is large, innovative, and connected to the EU’s biggest buyers. You benefit from high-speed rail, top seaports, major airports, and a powerful supplier base. Business services are sophisticated, and state-backed innovation funding complements private capital. Add reliable rule of law and you get a market where serious operators scale with confidence.
What numbers should an investor know right now?
Here’s a quick look to benchmark your plan. After the table, we dive into the street-level view so you can pick the right hub and sector.
| Metric | France |
|---|---|
| Population | ~68 million |
| Corporate income tax | 25% |
| Standard VAT | 20% (reduced 10% 5.5% 2.1%) |
| Key hubs | Paris Lyon Marseille |
| High-growth sectors | Aerospace Green industry Fintech Healthtech AI Luxury Logistics Gaming |
Which French cities make the most business sense?
Each city offers a distinct edge, so align your strategy with local strengths and customer access.
- Paris – Finance, luxury, tech, media, and global HQs. Prime business streets include Avenue des Champs-Élysées, Boulevard Haussmann, and Rue du Faubourg Saint-Honoré. La Défense towers offer Grade-A corporate space with transit access.
- Lyon – Biotech, cleantech, chemicals, and advanced manufacturing. Key corridors are Rue de la République, La Part-Dieu, and Confluence for modern mixed-use office and retail footprints.
- Marseille – Port logistics, maritime, energy services, and Mediterranean trade. Look at La Canebière, Rue Saint-Ferréol, and Euroméditerranée zones for logistics, offices, and urban regeneration plays.
What trends and sectors are attracting capital?
France is pushing hard on re-industrialization and decarbonization. You’ll see investment in batteries, hydrogen, semiconductors, and low-carbon construction materials. Paris remains the fintech and venture hub, while Lyon drives life sciences and Marseille scales logistics and near-port distribution. Creative industries, gaming, and SaaS continue to draw cross-border partnerships.
Where are the real estate opportunities for developers and investors?
Grade-A offices in La Défense with flexible floor plates, life-science clusters in Lyon’s Gerland, and last-mile logistics near Paris’s A86 ring are in focus. High-street retail on Boulevard Haussmann or Rue de la République still works with experiential brands. Logistics in Marseille’s Fos-sur-Mer and cold-chain nodes near Rungis strengthen e-commerce and food distribution strategies.
How do I structure expansion cleanly and keep banking predictable?
Set up a French SAS or SARL for operations and hiring. Then use a robust European holding for treasury, IP, or M&A. For private wealth planning, evaluate dedicated vehicles. Need bank introductions and governance? Start with these resources:
Related articles
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- Damalion Investors & France projects
- Types of companies in France (SARL, SAS, etc.)
- Why choose SAS in France: guide and benefits
- How to register a company in southern France
How to set up in France: what are the practical steps?
Follow these steps and move from idea to operations with clarity and speed.
- Choose entity type (SAS SARL) and check name availability.
- Open a French business account and deposit share capital if required.
- Draft statutes and register at the Guichet unique via INPI.
- Obtain SIREN/SIRET and VAT number if applicable.
- Register for employer obligations and payroll.
- Set up accounting ERP and invoicing flow with e-invoicing readiness.
- Pick office or logistics site near clients transit or ports.
What sources help you validate assumptions?
Use official data for demand mapping and pricing. See INSEE for population, consumption, and regional indicators. Track the policy and rate outlook at the Banque de France. For innovation and funding programs, check Bpifrance.
Key Features & Benefits
- Large domestic market with EU access
- Deep logistics network and multimodal transport
- Skilled workforce and strong R&D base
- Global brand ecosystem in luxury aerospace and health
- Predictable corporate tax at 25% and standard VAT at 20%
Short video: why structuring matters for cross-border investments
France for Business
- What is the standard VAT rate in France?
20% is the standard rate with reduced rates of 10% 5.5% and 2.1%. - What is France’s corporate income tax?
25% at the national level. - Which French city is best for a headquarters?
Paris is the primary choice for HQs finance and tech. - Where are Paris’s prime business streets?
Avenue des Champs-Élysées Boulevard Haussmann and Rue du Faubourg Saint-Honoré. - What sectors are growing fastest in France?
Aerospace green industry fintech healthtech AI luxury logistics and gaming. - Is English widely used in business?
Yes English is common in corporate settings especially in Paris. - Do I need VAT registration from day one?
Register when you carry out taxable supplies or expect to cross thresholds. - What city is best for manufacturing and logistics?
Lyon and Marseille offer strong industrial and port logistics ecosystems. - Which Lyon streets offer good visibility?
Rue de la République and La Part-Dieu are prime commercial corridors. - Which Marseille streets are central for commerce?
La Canebière and Rue Saint-Ferréol are notable. - Are there opportunities in last-mile logistics?
Yes around the A86 ring in Paris and port-adjacent zones near Marseille. - Can I run French sales with an EU holding on top?
Yes many groups use a French OpCo with an EU holding for treasury. - How fast can I open a business account?
Timelines vary by bank and due diligence so prepare complete KYC and AML. - What payroll basics should I plan for?
Employer registration social charges and compliant payslips. - Where do I find official market data?
INSEE and the Banque de France publish frequent reports.
10 best things to do in France during a 24-hour business trip
- Morning walk across central Paris
- Louvre quick briefing stop
- Musée d’Orsay snapshot
- Eiffel Tower client meetup
- Hôtel de Ville area coffee and calls
- Grand Palais immersive walkthrough
- Bibliothèque nationale quick research slot
- Versailles late-afternoon visit
- RATP transit hop between meetings
- Evening transfer via CDG or ORY
