Already freelancing, or starting a small business, and wondering whether you need a company? In Tunisia you have three options: the auto-entrepreneur regime, the sole trader (entreprise individuelle), and a company (SARL or SUARL). They differ in cost, tax and protection.
This guide compares them using the official texts, and helps you work out when it's time to switch to a company.
In short
- An auto-entrepreneur pays a single contribution (0.5% of turnover for tax, plus a flat social contribution), provided turnover stays under 75,000 TND a year.
- As a sole trader, you and the business are one and the same person: your personal assets answer for business debts.
- A company (SARL or SUARL) creates a separate legal person with liability limited to contributions, but more formalities.
- People usually switch to a company to protect their assets, take on partners, outgrow the auto-entrepreneur cap or reassure large clients.
The three options at a glance
| Criterion | Auto-entrepreneur | Sole trader | SARL / SUARL |
|---|---|---|---|
| Who | Individual of Tunisian nationality | Individual | Separate legal entity, 1 to 50 partners |
| Turnover cap | 75,000 TND a year | None | None |
| Tax | Single contribution: 0.5% of turnover for tax | Personal income tax (IRPP) | Corporate income tax |
| Social security | Flat contribution included in the single contribution | Self-employed scheme | Depends on the manager's status; employer registration if staff |
| Liability | Personal, but main residence protected from business debts | Unlimited: you and the business are one | Limited to contributions |
| Formalities | Online registration, card issued within 15 days | Declaration of existence, tax ID | Statuts, RNE, tax ID |
| Partners | Not possible | Not possible | Yes (SARL) |
The auto-entrepreneur: simple, but capped
The regime was created by decree-law no. 2020-33 of 10 June 2020. It covers any individual of Tunisian nationality working alone in industry, agriculture, commerce, services, crafts or trades, with annual turnover of no more than 75,000 TND.
What the text provides:
- A single contribution replacing income tax, VAT and social contributions: 0.5% of annual turnover for tax, and 7.5% of two thirds of the minimum wage (agricultural or industrial depending on the activity) for social security.
- No contribution in the first year, with the National Employment Fund covering social contributions.
- A quarterly online declaration, within 15 days after each quarter.
- A register of income and expenses, initialled by the tax administration.
- The main residence protected: it cannot be seized for arrears linked to the activity.
Its limits, set by the same text:
- Removal from the register if turnover exceeds 75,000 TND, or if more than 90% of turnover comes from a company you used to work for as an employee (to prevent disguised employment).
- Exclusion of anyone who has already filed a tax declaration of existence since the decree-law was published.
- No partners: the regime is strictly individual.
According to the Minister of Employment, quoted by Business News in June 2026, the regime has more than 10,000 registrations, and the government plans to extend it to freelancers working through digital platforms. Until that extension is published, check that your activity is on the list set by decree.
The sole trader: no cap, but no protection
As a sole trader, as the Tunisia Investment Authority (TIA) investor guide puts it, the entrepreneur and the business form one and the same person. There's no share capital and no separation between your personal assets and the business's.
In practice:
- you file a declaration of existence and get a tax ID (see the matricule fiscal in Tunisia);
- your profits are subject to personal income tax;
- you keep accounts, possibly simplified: according to the official tax identification card template, simplified accounting is open to sole traders under the real regime with turnover up to 300,000 TND (buying and reselling, processing) or 150,000 TND (services).
The main risk is clear: if the business runs into debt, your personal assets can be seized.
The company: more formalities, but real separation
A SARL or SUARL is a separate legal person. Under article 90 of the Commercial Companies Code, partners bear losses only up to their contributions. The Code has set no minimum capital since 2007.
In return, you need to:
- draft articles of association (statuts) and register the company with the RNE;
- keep compliant accounts and file corporate income tax returns;
- follow operating rules (management, decisions, special register for a SUARL).
The cost of creation is detailed in our guide to the cost of registering a company in Tunisia, and the choice between the two forms in our comparison SARL or SUARL in Tunisia.
When should you switch to a company?
Ask yourself these five questions. A single "yes" is often enough to justify a company:
- Is your turnover approaching 75,000 TND a year? Beyond that, the auto-entrepreneur regime ends.
- Do you want to protect your personal assets? Only a company limits your liability to your contributions.
- Will you take on a partner or bring in an investor? Only a SARL allows it.
- Do your clients require a company, with a tax ID and invoices from a legal entity? Common with large firms and for exports.
- Will you hire or invest in equipment? A company structure makes financing and management easier.
If you live abroad and work with clients in Tunisia, see also our guide to creating a company in Tunisia from abroad.
Frequently asked questions
What's the difference between an auto-entrepreneur and a sole trader in Tunisia?
The auto-entrepreneur benefits from a simplified regime created in 2020: a single contribution of 0.5% of turnover for tax plus a flat social contribution, with a 75,000 TND annual cap. The sole trader has no cap but falls under the standard tax and social regime.
What is the auto-entrepreneur turnover cap?
75,000 TND a year, under article 2 of decree-law no. 2020-33. Beyond that, the registration in the auto-entrepreneur register is cancelled.
Can a freelancer be an auto-entrepreneur?
Yes, if the activity is on the list set by decree and the cap is respected. The government announced in June 2026 that it wants to extend the regime to freelancers on digital platforms; check the list in force before registering.
Does being a sole trader protect my personal assets?
No. As a sole trader, you and the business are one person: your personal assets answer for business debts. Only a company limits liability to contributions.
When should I create a SARL rather than stay freelance?
When you're nearing the 75,000 TND cap, want to protect your assets, take on a partner, hire, or when your clients require you to work as a company.
Think it's time to move to a company? Tell us about your activity: we'll tell you whether now's the right time and which form to choose. Our offers are detailed on our pricing page.
Sources
- Decree-law no. 2020-33 of 10 June 2020 on the auto-entrepreneur regime — Ministry of Employment and Vocational Training (in French)
- Auto-entrepreneur: more than 10,000 registrations, regime soon extended to freelancers — Business News, 24 June 2026 (in French)
- Investor guide, legal forms — Tunisia Investment Authority
- Tax identification card template and taxpayer obligations — Ministry of Finance (in French)
- Commercial Companies Code, 2022 edition, articles 90 and 92 — Official Printing Office, via the CMF (in French)
