A boost for French Tech … While the fall in economic activity generated by the coronavirus pandemic is putting the business world in distress, the government has announced a plan to support French startups.
“I am announcing today a 4 billion euro plan with BpiFrance and SGPI future to support the cash flow of our startups in this period of crisis. French Tech is a pillar of our economy and our jobs. With Bruno Le Mayor, we are setting up support adapted to their model, “announced the French Secretary of State for Digital Cedric O on Wednesday on his Twitter account.
“The startups have a growing weight in the economy, in particular in the jobs. They also develop innovative products and services whose utility is all the more recognized by the French in the context of confinement, in particular for teleconsultation, telework or delivery, “he said.
80 million euros to finance “bridges”
In detail, an envelope of 80 million euros, financed by the Investments for the Future Program (PIA) and managed by Bpifrance, will be set up to finance “bridges” (bridging loans) between two leverage of funds.
This support plan also provides for state guaranteed cash loans “which may specifically go up to twice the France 2019 payroll, or, if higher, 25% of annual turnover as for other companies” . They should represent a total of almost 2 billion euros.
Accelerated CIR payment
As announced by the Minister of Action and Public Accounts Gerald Darmanin a little earlier, all companies will also have the possibility of requesting an express refund of the research tax credit (CIR) which will allow to give a little cash to companies most affected. It will intervene in the coming days, with a global envelope of around 1.5 billion euros. “Startups can request now and without waiting for the filing of the result declaration (” tax bundle “) a refund of the CIR for the year 2019”, specifies Bercy.
In a second step, the 250 million euros in aid for innovation planned as part of the investment plan for the future will also be paid in advance by BpiFrance and Ademe.
As a reminder, Bruno Le Maire had confirmed that aid of 1,500 euros would be quickly implemented for the self-employed. It will be available on request to compensate for the lack of unemployment for self-employed workers.