Running a catering business as a micro-entrepreneur in France: VAT and limits

Can a caterer be a micro-entrepreneur?

Yes. Nothing prevents you from catering under the micro-entrepreneur scheme (also called auto-entrepreneur), and it is a common choice for people starting out: online registration, free in most cases, simple declarations, contributions proportional to the turnover you collect. The trade's obligations stay the same: premises registered with the food safety authorities before opening, a food safety plan, the cold chain.

One point that matters: selling prepared food to take away or for delivery falls, on the wording of French tax law, under the sale of foodstuffs. No text names catering explicitly, but that is the most natural reading. Equipment hire, entertainment or staff billed separately count in principle as services, with their own cap; serving a meal on site may, however, count as selling food for consumption on the premises. No text covers catering expressly: have your accountant settle your case.

The 2026 figures

The micro-entrepreneur caps were raised for 2026; the VAT exemption thresholds were left unchanged. The single €25,000 VAT threshold planned by the 2025 Finance Act was scrapped for good in November 2025: it does not apply.

Caps and going over them

With a mixed activity, two conditions apply at once: total turnover stays under €203,100, and the services share stays under €83,600. A caterer who bills a lot of services separately (equipment hire, staff) can hit the second cap long before the first.

Going over once does not take you out of the scheme. Going over two calendar years in a row does, from 1 January of the following year. For a growing catering business, that leaves time to prepare the move to the standard regime with an accountant.

For income tax, the profit of a sales activity is calculated by the tax office after a flat 71% allowance on turnover, whatever your real costs. Subject to a household income condition, the versement libératoire lets you pay income tax together with your contributions: 1% of turnover for sales.

Who can use the scheme? EU, EEA or Swiss nationals can register straight away. Non-EU nationals need a residence permit that allows self-employment, which is worth checking before you sign a lease or buy a van.

VAT for caterers: exemption, then 5.5, 10 or 20%

While you stay under the VAT exemption threshold, you charge no VAT and recover none on your purchases. Invoices must state "TVA non applicable, article 293 B du CGI". Above the €93,500 upper threshold, VAT applies straight away; between €85,000 and €93,500, it applies from 1 January of the following year.

A caterer's rates depend on what is sold and how. Prepared dishes sold to take away or for delivery, which can be kept, are taxed at 5.5%. Food prepared for immediate consumption is taxed at 10%: that is the case when preparation, sale and delivery follow each other immediately; otherwise the rate is 5.5%. A whole delivery that comes with service (venue, equipment, staff) is also taxed at 10%, treated as on-site catering. Alcoholic drinks are always at 20%. If in doubt about a service, the BOFiP (official tax guidance) details the cases; your accountant will settle yours.

When the micro scheme becomes a trap

The scheme calculates contributions on turnover, not profit. A caterer spends a lot to sell: food, packaging, fuel, rent, refrigeration upkeep. The heavier those costs, the more expensive the scheme becomes compared with the standard regime, which only taxes what is left.

The VAT exemption has a downside too. It makes your prices more attractive to private clients, who cannot recover VAT. Most companies can: for them, a price excluding VAT is still a price excluding VAT. Works councils (CSE), local authorities and associations often cannot: for them, the price including VAT is what counts. And you recover no VAT on a refrigerated van or cold cabinets, which makes your start-up investment heavier.

There is a little-known option: a micro-entrepreneur can give up the exemption and opt to charge VAT while staying in the micro scheme for contributions. For a caterer who sells mainly to companies and invests in refrigeration, it is worth discussing with an accountant: for clients who recover VAT the real cost does not change, while works councils, local authorities and associations will pay the VAT on top; you, on the other hand, recover the VAT on your purchases. The option commits you for two years and renews tacitly.

An illustrative example: on €60,000 of sales collected in a year, contributions at the full rate come to €7,380, whatever your purchases. If your real costs take half of that turnover, you are left with €22,620 before income tax. Redo the sum with your own figures, and compare with an accountant before choosing.

Micro-entrepreneur or company: how to decide

The micro scheme suits testing an activity, starting with little investment, or adding to another activity. It is much less suited to a project that invests in a van and fitted premises, hires staff, or aims for volume from the outset.

Think about social cover too. Micro-entrepreneurs are covered for health by the general French social security system, but pension rights build up in proportion to the turnover you declare: a very low turnover validates few or no pension quarters. A caterer who keeps turnover artificially low to stay in the scheme pays for it later.

A sole trader on actual profits or a company (SASU, EURL) lets you deduct costs, recover VAT on investments and keep your personal assets more clearly apart. It costs more to run, but reflects the economics of a growing catering business better. The start-up budget is in the startup budget, line by line, and the steps in the steps to start a catering business.

For a Crozy project, the legal status is chosen before signing, with your accountant, in light of the review of your area. The entry fee and brand fee are expressed excluding VAT: €4,900 and €390 a month from the fourth month.