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Become Independent! The Paradoxical Constraints of France's “Auto‐Entrepreneur” Regime

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  • Nadine Levratto
  • Evelyne Serverin

Abstract

The aw on conomic odernization of ugust 4, 2008, introduced a new form of individual entrepreneur, the “auto‐entrepreneur,” the goal being to enhance the competitiveness of the rench economy by promoting entrepreneurial spirit. This paper proposes to discuss the “auto‐entrepreneur” model with reference to the fundamentals of the theory of the firm and the legal variants of the “auto‐entrepreneur.” The argument will be structured around the criterion of independence, and its various interpretations, which will be used to put the auto‐entrepreneur model to the test. Three forms of autonomy are given precedence: productive, concerning the availability of sufficient financing and material to provide professional services; managerial, which measures the ability to assume the risks inherent to business, regarding both interested and third parties; and financial, or the chances of earning enough money to subsist upon. The result, highlighted in the conclusion to this paper, is that the “auto‐entrepreneur” regime is contrary to every referenced approach to the firm. This business model appears best adapted as a means of supplementing income from another, unrelated activity or in retirement.

Suggested Citation

  • Nadine Levratto & Evelyne Serverin, 2015. "Become Independent! The Paradoxical Constraints of France's “Auto‐Entrepreneur” Regime," Journal of Small Business Management, Taylor & Francis Journals, vol. 53(1), pages 284-301, January.
    • Handle: RePEc:taf:ujbmxx:v:53:y:2015:i:1:p:284-301
    DOI: 10.1111/jsbm.12064
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