If you’re familiar with what’s going on in the European entrepreneurship scene, you know that Paris lags behind the likes of Berlin and London. However, things seem to be changing. In 2009, the French government created the “auto-entrepreneur” status to promote business creation through tax breaks and a more streamlined company registration process. Almost 8 years on from this new business status, Paris is home to some of the most swarming startups in Europe. Deezer and BlaBlaCar are probably the most known. As an international student at the American Business School, you may be interested in launching your own business in Paris.
Why choose Paris for your startup?
Let’s take a look at the city’s pros and cons for entrepreneurs:
Population: 2.23 million
- Paris has a thriving startup scene especially in hi-tech.
- No shortage of skilled developers and engineers.
- Business Angels keep an eye on Paris.
- “Auto-entrepreneur status” enables you to start your company without getting hit too hard on taxes.
- While average salaries are slightly lower in France than in the UK, hiring new employees can be very expensive (social charges).
- Speaking French can easily become a sine qua non to succeed as local companies have a strong French focus with reduced international outlook.
- The gender inequality in French startup scene is high as men still dominate the workplace, even if things are slightly changing.
Will New York become the new Silicon Valley?
Paris is growing as a tech hub, but New York is on a whole other level. Urban improvements such as cycle paths, parks and public transport could transform Brooklyn and help turn Big Apple into the new Silicon Valley. “New York City, now the second leading tech hub in the nation, can overtake Silicon Valley in the top spot”, said the Brooklyn Tech Triangle coalition. In fact, most of the young college-educated people choose to live in Manhattan or Brooklyn instead of the suburbs of San Francisco Bay Area. In addition, it seems that New York is outperforming Silicon Valley in terms of startup related events.