C5a is an inflammatory mediator that evokes a variety of immune effector functions including chemotaxis, cell activation, spasmogenesis, and immune modulation. It is well established that the effector site in C5a is located in the C‐terminal region, although other regions in C5a also contribute to receptor interaction. We have examined the N‐terminal region (NTR) of human C5a by replacing selected residues in the NTR with glycine via site‐directed mutagenesis. Mutants of rC5a were expressed as fusion proteins, and rC5a was isolated after factor Xa cleavage. The potency of the mutants was evaluated by measuring both neutrophil chemotaxis and degranulation (β‐glucuronidase release). Mutants that contained the single residue substitutions Ile‐6 → Gly or Tyr‐13 → Gly were reduced in potency to 4–30% compared with wild‐type rC5a. Other single‐site glycine substitutions at positions Leu‐2, Ala‐10, Lys‐4, Lys‐5, Glu‐7, Glu‐8, and Lys‐14 showed little effect on C5a potency. The double mutant, Ile‐6 → Gly/Tyr‐13 → Gly, was reduced in potency to <0.2%, which correlated with a correspondingly low binding affinity for neutrophil C5a receptors. Circular dichroism studies revealed a 40% reduction in α‐helical content for the double mutant, suggesting that the NTR contributes stabilizing interactions that maintain local secondary or tertiary structure of C5a important for receptor interaction. We conclude that the N‐terminal region in C5a is involved in receptor binding either through direct interaction with the receptor or by stabilizing a binding site elsewhere in the intact C5a molecule.