Payroll Management without Entity in France | HReact
Payroll Management in France

Managing payroll without an entity: EOR, its limits... and the true solution.

Recruiting in France without a local entity is a common challenge for foreign companies. You may think that an EOR (Employer of Record) is the only option? Think again.

Hiring in France without a subsidiary: your two options

Before making any hires, you are at a crossroads:

EOR Icon
OPTION 1

The Employer of Record

It is the "turnkey" solution offered by large global platforms, often marketed as the easiest way to hire quickly without setting up a local entity.

Principle: You manage the operational side → They become the legal employer on paper.

It may appear simple and fast, but the reality of French labour law is often less glamorous.

Alternative Icon
OPTION 2 - The HReact Alternative

CNFE Registration

No need to create a complex company. You simply register your foreign company with URSSAF (via the CNFE of Strasbourg).

Principle: You are the legal employer → We handle the administrative complexity and payroll.

This is a more cost-effective, safer, and equally simple alternative to an EOR.

The limits of EORs in France (what they don't tell you)

Why do we often advise against using an EOR in the medium term?

Exploding costs

Exploding costs

Between management fees and margins on social charges, you pay 20-30% more than as a direct employer.

No HR flexibility

No HR flexibility

EORs rely on standardised contracts. Impossible to apply your own benefits policy or optimise salary packages.

A brake on growth

A brake on growth

From the 2nd or 3rd employee, costs quickly become unsustainable. The EOR often ends up advising you… to open an entity.

Legal opacity

Legal opacity

You do not control the legal relationship. Amendments, terminations and litigation all go through a third party, creating delays and frustration.

The HReact solution: Registration without burden

We are not an EOR. We are your outsourced HR department.
Our approach: registering you as a foreign employer (via the National Center for Foreign Firms) so you retain control, while we handle execution on your behalf.

What we do for you (all the "dirty work"). Once your SIRET number is obtained (with the support of our partners), we take over completely:

  • Social registrations: Management of URSSAF, pension, and provident fund affiliations.
  • 100% French payroll: Payslip production on SILAE and monthly DSN declarations.
  • Labor Law compliance: Drafting robust local contracts and ongoing legal monitoring.
  • Onboarding: Administrative welcome of your first employees.

Your immediate benefits:

Reduced costs

Reduced costs:
No intermediary margin on gross salary.

Credibility

Credibility:
You are the real employer in the eyes of candidates (stronger employer brand).

Scalability

Scalability:
Whether you have 1 or 50 employees, the process remains the same.

Why choose HReact rather than an EOR?

Criterion EOR (International Wage Portage) HReact + Registration
Cost ❌ Very high (Fees + %) ✔ Optimised (real cost)
Legal Employer ❌ The provider ✔ YOU
HR Control ❌ Limited / Standardised ✔ Total & Personalised
Compliance ⚠️ Dependent on a third party ✔ Secured by local experts
Scalability ❌ Complex (extra costs) ✔ Unlimited

Concretely, how does it work?

Here is the typical journey to recruit in France without creating a complex subsidiary:

1

1. Diagnostic

We analyze your needs. EOR or Registration? We give you a clear, honest view of the costs.

2

2. Registration

We connect you with our partners to obtain your SIRET via the CNFE (URSSAF for foreign companies). It’s fast.

3

3. HReact activation

As soon as the number is issued, we configure payroll, draft contracts, and affiliate employees.

4

4. Cruise

You focus on the business. We manage payroll, charges, and legal matters every month.

No jargon, no complications. We explain what is safest, fastest, and most cost-effective for your situation.

Book your free consultation