Decathlon's Swiss move promises huge savings - but France could spoil the plan
Decathlon CMA CGM's move to Switzerland could save the team up to €900,000 a year on a single rider, according to Eurosport. However, French tax authorities could complicate the team's plans to unlock millions in savings.
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Decathlon CMA CGM's move to Switzerland could provide the French team with a significant financial advantage, potentially saving millions of euros through lower employer social security contributions and more favourable taxation.
The relocation will see its corporate operations transferred to a new Swiss entity, Decathlon Cycling Team Suisse SA, registered in the Canton of Geneva. Although the team will retain its French sporting nationality, the financial benefits of the move could be considerable.
According to tax lawyer Jonathan Bensaid, one of the main attractions for Decathlon is the difference in employer social security contributions. These typically amount to 6-10% of salaries in Geneva, compared to 25-30% in France.
“On a multi-million-euro salary, that difference translates to hundreds of thousands of euros per year, per rider,” Bensaid told Eurosport.
The potential savings are illustrated by a hypothetical annual gross salary of €5 million. According to Eurosport's calculations, employing a rider on that salary would cost Decathlon approximately €6.19 million in France, compared with €5.28 million in Switzerland.
That represents a potential annual saving of €900,000 on a single rider. With 28 riders expected to be under contract in 2027, the overall financial benefit could reach several million euros.
The move comes as Decathlon strengthens its squad around Paul Seixas, with Ben O'Connor, Pavel Sivakov and Laurens De Plus all joining for 2027.
The Swiss structure could also give the team greater financial flexibility when negotiating a contract extension with Seixas, whose future remains uncertain beyond 2027.
However, retaining its French identity while moving its corporate operations abroad could present complications.
Decathlon intends to keep its performance centre in La Motte-Servolex, meaning French authorities could examine where the team's management and day-to-day activities actually take place.
"In general, with a setup like this, if the effective management remains in France, the French authorities may treat the company as a French entity; if the performance centre constitutes a 'permanent establishment,' it effectively becomes an employer under French law,” Bensaid said.
"From a sporting perspective, the team can remain French. However, from a social and fiscal standpoint, the entire point of the move is precisely to stop being French."
