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> I don't know a single french entrepeneur that doesn't think about leaving the country if its start up starts to become successful. In that case, why don't th

> I don't know a single french entrepeneur that doesn't think about leaving the country if its start up starts to become successful. In that case, why don't they start their companies abroad from the start? basically, they want to enjoy the security offered by their country in case of failure, but they don't want to pay their share in case of success. > French like big, safe, and conservative structures What's wrong with that? many elite graduates (not only in France) choose to work for big corporations that provide great benefits and little risk. It seems to be a rationale choice.

catwell 11y ago
> why don't they start their companies abroad from the start? Because it's easier to move a company to the US once it is funded and starts getting traction than to start it there. Also, technical talent is much cheaper in France than in the US, so building the product in France makes sense. A lot of French tech companies that "move to the US" actually keep a subsidiary with their development team in France. And we see tech companies such as Facebook and Google open offices in France to benefit from the talent pool. Young develpers are also probably more willing to try working at a startup instead of going for the safety of a big company because they do not have student loans to pay back... France has been good with seed-stage startups for years now (incubators, accelerators, seed VC / angels, tax cuts & subsidies...) The problem is the growth stage and beyond. The French market is too large to force companies to think global from the start and too small to scale for most. VC is much harder to find beyond series A, and moves like the French government preventing exits to foreign buyers scares foreign capital. But I am optimistic: France figured out the early stage just a few years ago, it will figure out later stages in time.
- bitL 11y ago
  It's actually much easier to start a company in "tax-friendly" states of USA where you don't have to reside in order to start a company and don't have to pay taxes until you hit $1M revenue, like DL or NV. You can do it comfortably from within EU never setting your foot on the other side of Atlantic, via US Embassy and some US bank subsidiary.
brohee 11y ago
> In that case, why don't they start their companies abroad from the start? Well, possibly because they are leeches. It's pretty easy in France to work on your startup while collecting unemployement benefits (and no need to get fired to collect unemployement, there is a special case of voluntary quitting that permits you to collect benefits). The French state is a very good angel investor, the trouble starts when you need VC...

catwell 11y ago

> why don't they start their companies abroad from the start? Because it's easier to move a company to the US once it is funded and starts getting traction than to start it there. Also, technical talent is much cheaper in France than in the US, so building the product in France makes sense. A lot of French tech companies that "move to the US" actually keep a subsidiary with their development team in France. And we see tech companies such as Facebook and Google open offices in France to benefit from the talent pool. Young develpers are also probably more willing to try working at a startup instead of going for the safety of a big company because they do not have student loans to pay back... France has been good with seed-stage startups for years now (incubators, accelerators, seed VC / angels, tax cuts & subsidies...) The problem is the growth stage and beyond. The French market is too large to force companies to think global from the start and too small to scale for most. VC is much harder to find beyond series A, and moves like the French government preventing exits to foreign buyers scares foreign capital. But I am optimistic: France figured out the early stage just a few years ago, it will figure out later stages in time.

bitL 11y ago
It's actually much easier to start a company in "tax-friendly" states of USA where you don't have to reside in order to start a company and don't have to pay taxes until you hit $1M revenue, like DL or NV. You can do it comfortably from within EU never setting your foot on the other side of Atlantic, via US Embassy and some US bank subsidiary.

brohee 11y ago

> In that case, why don't they start their companies abroad from the start? Well, possibly because they are leeches. It's pretty easy in France to work on your startup while collecting unemployement benefits (and no need to get fired to collect unemployement, there is a special case of voluntary quitting that permits you to collect benefits). The French state is a very good angel investor, the trouble starts when you need VC...