The legal obligations of a freelancer are numerous, whether you’re thinking of starting as a freelancer or are already one. To practice your profession legally, you must comply with various obligations. Don’t worry; we’ve got you covered in this article.
Engage in business creation procedures
As an independent freelance worker, you have several options regarding your business structure. You can choose to opt for an individual company with a micro-enterprise regime, or you can opt for a commercial company (SAS, SARL, SASU, etc.). Both options offer different advantages, but you should carefully consider this decision because it will impact all your obligations!
Write your general terms of sale and service contracts
Your general terms of sale (GTS) is a document that provides legal guidelines for your business relationships, whether with individuals or professionals. This document should contain all the details of your collaboration, including your working method, invoicing, delivery, and several legal mentions.
Be careful not to confuse your general terms of sale with your service contracts. The service contract should be drawn up on a case-by-case basis, depending on the assignments and the client, to describe specific conditions that do not appear in the GTS.
Note: You must comply with the obligation to provide information and guidance: article L111-1 of the Communication Code.
Comply with GDPR
Yes, GDPR is not only for large companies! According to the CNIL, the regulation applies to all public or private organizations that process personal data within the European Union or whose activity targets European residents. As an independent freelancer, you must comply with the rules on data protection. Managing consent on your website is an essential step in this compliance process. It’s always better if the first interaction with your visitors is pleasant. You can put simple extensions on your website, such as the one we offer: a pop-up with smiling cookies to collect the cookie, marketing, and contractual consent of all your visitors. For more information, you can always follow the guide produced by the CNIL.
Subscribe to a mediation service.
A dispute with a client or supplier can quickly arise! You should know that, as a freelancer, you are legally responsible in case of a problem! You must call on a consumer mediator if some of your clients are individuals. Their role is to find a compromise between the client and you!
Fiscal and accounting obligations of the freelancer under the micro-enterprise regime
As a freelancer, you must also meet certain fiscal and accounting obligations! Rest assured; these obligations are relatively simplified under the micro-enterprise regime.
Establish invoices for each sale or service
You are required to keep your invoicing up to date. These invoices serve to justify your transactions and also serve as accounting proof. Your invoices must be issued once your sale or service is finalized, contain several mandatory mentions, have a chronological numbering, and be archived in paper or digital format for ten years.
Keep your accounts
With the micro-enterprise regime, your freelance accounting is significantly simplified! It would be best to keep a book of receipts: a document that combines all your tickets chronologically. And, in the case where you provide accommodation or commercial activities, keep a register of purchases: a copy that groups all your expenses in chronological order. These two documents must also be drawn up in compliance with the rules and contain several mandatory mentions to be valid.
Note: Accounting procedures in individual businesses usually do not require a chartered accountant.
Pay charges and make declarations.
A dedicated bank account for your business becomes an obligation starting from a turnover exceeding €10,000 for two consecutive years. Be careful not to confuse a professional report with a dedicated account! A dedicated account can be a simple checking account 😉 The idea is to separate your financial flows from your professional ones.
Are you afraid of making mistakes? Don’t panic! To easily manage your business, applications like Abby allow you to save time by meeting all your obligations on a single platform: invoicing, declaration, accounting, customer management, and project management…
Specific Obligations for Service Contracts
Respect a Duty of Care
As a freelancer, you must comply with your service contract. You must do everything possible to complete the mission entrusted to you successfully!
Be Registered with a CFE
To carry out a service contract, you must ensure that you are appropriately registered with a Centre de Formalités des Entreprises (CFE) and that your SIRET number is valid.
Bonus Recommendations
Subscribe to Professional Liability Insurance
To protect yourself from problems that may arise during the completion of your missions, you can subscribe to professional liability insurance, also known as RC Pro. This insurance will allow you to cover faults and damages such as loss or theft of equipment.
However, it should be noted that the insurance will not cover you in case of mission delays.
Implement an Intellectual Property Clause
Unlike working as an employee or freelancer, all creations belong to you and are protected by copyright. However, you can transfer rights to your clients according to your preferences! Several options are available to you:
- Legate, your creation to your client by including a copyright transfer clause in your contract
- Share only exploitation rights