“ EDITORIALIn France, as in other places in the world, more than 9 out of 10 businesses are micro-businesses or SMEs, most of which are independent. They do not therefore fall into a homogenous category, far from it.

Many countries have found it an economic and political necessity to have an overview of these busi-nesses – from Japan, which has used SME reports for fifty years, through to New Zealand, which has just published its first report, along with for example Thailand, India, the US, Belgium, Croatia and the European Union. For ten years now, Bpifrance’s SME Observatory has performed this task for France with the backing of over forty partners.

Researchers, business leaders, regional and national policy makers, journalists and those involved in providing support or finance for businesses will all find in this Annual Report on SME Trends – which has been extended to include intermediate-sized enterprises – figures and analyses providing summaries or in-depth information as required on their demographic trends, activity levels, hiring policies, methods of finance, performance in innovation, international expansion, and more besides.

The initial crucial phase involved correlating disparate pieces of data and explaining methodology. Now this has been successfully completed, the challenge today lies in sharing the information with as many people as possible. The 2014 report therefore comes in an open-data format, offering rea-ders the opportunity to download the information contained in its 200 tables and graphs. It is also being transformed into an “all-digital” report, so it can be updated as and when information becomes available.

So choose a subject and let yourself be guided through its content, then make sure you share it with everyone you know!

Enjoy!

The SME Observatory team

SME 2014 ANNUAL REPORT ON SME TRENDS

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OVERVIEWFrance has over 3 million micro-businesses, totalling 95% of the companies established in the country. Their business activities include small-scale commerce, services and construction. SMEs are involved in all types of business activity, while the intermediate-sized enterprises are concentrated in industry. Although 99% of the social and solidarity economy (SSE) is made up of micro-businesses and SMEs, almost one in five intermediate-sized enterprises and large com-panies located in France is involved in it.

FEWER CREATIONS FACED WITH AN INCREASING NUMBER OF FAILURESThe downward trend in start-ups seen in 2013 has be-come widespread. It now affects not only most sectors and 8 regions out of 10, but also the emergence of new innovative activities. The upsurge in one-person busi-nesses has not been sufficient to offset the sharp fall in new “auto-entrepreneur” (French simplified self-employment scheme) registrations.

In 2 instances out of 10, ownership of an SME or inter-mediate-sized enterprise changes as a result of pas-sing it down within the family. The decision to transfer a business is influenced more by business size than by the transferor’s age. A lack of buyers coupled with the fact that managers are becoming older is undermining the growth prospects of these businesses.

The business failure rate is still well above pre-cri-sis levels, and has risen in half of all regions. Micro-businesses and B2C are the hardest hit. The situation would seem to have improved in 2014.

BUSINESS IS STILL FLAGGING FOR MOST SMESThe activity of SMEs that are not micro-businesses faltered once again in 2013. Value added is following the same trend to a lesser extent and the drop in pro-fitability is having an adverse effect on the level of in-vestment. The capital expenditure rate has therefore been driven down to a low of under 15%. Industry is suffering more than the other sectors from the gloomy economic environment in France, which also explains the very depressed state of the construction industry. For 2014, however, the expectations of the heads of micro-businesses and SMEs suggest a slight impro-vement.

Micro-businesses and SMEs employ 7 million people, while intermediate-sized enterprises employ 3 mil-lion. Because of the high proportion of “auto-entrepre-neurs”, only 5% of new businesses have employees.

Although self-employment is still growing, the num-ber of employees continued to fall in 2013, in particular in industry where temporary work served to cushion the impact of the crisis. A slight upturn is discernible for 2014, with the number of new jobs slightly excee-ding the number of job losses in the first six months of the year and an increase in hiring plans in all organi-sations regardless of their size.

R&D, INNOVATION, EXPORT AND PUBLIC PROCUREMENT CONTRACTS IN RESPONSE TO THE CRISISDriven by the very small businesses, the number of SMEs involved in export has risen to 117,000. Their sales, which target markets outside Europe, remain strong, while companies with over 250 employees are seeing their sales slip back.

One French multinational in two is an SME, often for-ming part of a group. Export is a precondition of their international presence, and their regional location in France influences their choice of country when loca-ting subsidiaries.

Despite the 2013 context of fewer public procurement contracts, SMEs, which hold 8 out of 10 contracts, have nevertheless strengthened their position. Local authority procurement tends to favour local suppliers, and mostly involves SMEs.

SMEs have maintained a significant level of R&D and innovation. They incur one quarter of corporate in-house R&D expenditure and are more intensively en-gaged in R&D than the average for businesses located in France. This involvement is also demonstrated by their share of the total research tax credit [Crédit d’im-pôt recherche, CIR], which amounts to one third, and of the total patent applications made by French legal entities (1 in 5). It is also demonstrated by the fact that over 7,000 of them belong to competitiveness clusters and 3,000 qualify for the young innovative enterprise tax status [Jeune entreprise innovante, JEI], which they retain on average for five years.

THE FINANCIAL FRAGILITY OF SMES IS INFLUENCING THEIR METHODS OF FINANCEThe increase in labour costs and production taxes is shrinking the margins of SMEs that are not micro-businesses, except for those in the transport sector. Their profitability is deteriorating again, but they are rebuilding their cash positions. Self-financing is

03Bpifrance•SME 2014

picking up again and the consolidation of proprietors’ equity is continuing. In the craft industry, one third of businesses have seen a drop in their activity, have ina-dequate margins or are under-capitalised.

SMEs that are not micro-businesses are making grea-ter use of bond borrowings and factoring – SMEs and micro-businesses account for one half of the invoices being discounted through factoring, whereas one craft business in three prefers to self-finance its capital expenditure. Demand for bank loans and overdrafts by French micro-businesses and SMEs is nevertheless in better shape than that of their European counterparts.

Trade credit enables debtors to ease their cash posi-tions, so payment practice in Europe has struggled to improve very much. France, unfortunately, is at the top of the league for “small” delays in payment.

In most OECD countries, credit terms with regard to collateral requirements are becoming tougher for mi-cro-businesses and SMEs, including in the Eurozone. The French economic environment is in line with the European average, in spite of its interest rates being amongst the lowest. In Asia, SMEs have little access to bank finance, and alternative sources are only in their very early stages.

To ease cash flow and encourage SMEs to maintain levels of investment in tangible and intangible assets, a wide range of national and European measures – taken by the European Commission and the European Investment Bank – have been introduced to help SMEs access external finance and to keep their risk expo-sure on innovation projects down.

THE FINANCIAL MARKETS ARE PICKING UP With €6.5 billion devoted to equity investment in 2013 in some 1,600 companies, the French venture capi-tal industry is still one of the strongest in Europe. In contrast, the downward trend in the amount of money flowing into innovation mutual funds [Fonds com-muns de placement dans l’innovation, FCPI] and the fall in their investment in innovative businesses has persisted. After cutting their involvement sharply as of 2009, insurance companies and mutuals have once again become the top subscribers to funds, ahead of the public sector, which is taking a contrarian stance once again this year to counter natural market failures made worse by the difficult economic environment. Bpifrance has subscribed €1.2 billion in capital itself, and invested €1.3 billion alongside its partners.

The pace of flotations on Enternext, the small & mid cap market, shot up in 2013 with 26 IPOs and 29 quoted bond issues.

The SME Observatory thanks all the contributors to the 2014 edition:

• Afic – French Private Equity Association• Altares-D&B – Major French independent

B2B information provider• ASF – The French Association of Specialized

Finance Companies• ECB – European Central Bank • Banque de France – Central Bank of France• EIB – European Investment Bank • Bpifrance – The French bank for public

investment • CNCRES – National Observatory on Social

Economy• Enternext• Groupe BPCE – Banque Populaire and

Caisse d’Épargne cooperative banking networks

• Inpi – National Institute of Intellectual Properties

• Insee – National Institute of Statistics and Economic Studies

• Institut supérieur des métiers – French organisation for fostering craft sector

• Ministry of Economy, Industry and Digital Economy

• Ministry of National and Higher Educations and Research

• Ministry of Finance and Public Accounts, Customs

• Observatory for Business Financing • Observatory for Public Procurement• OECD – Centre for Entrepreneurship, SMEs

and Local Development• Pramex international – Consulting firm for

international development and transactions

AN ENHANCED DIGITAL VERSION

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REPORT PUBLISHED BY BPIFRANCE

To buy a copy of the SME 2014 Report• www.ladocumentationfrançaise.fr • in bookshops

February 2015232 pagesISBN: 978-2-11-009779-8

Price: €30

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NOUVELLES MESURES Innovation, Développement durable

UN NOUVEAU PROGRAMME D’INVESTISSEMENTS D’AVENIR (PIA 2) A LA SUITE DE L’ANNONCE PAR LE GOUVERNEMENT DU PLAN « INVESTIR POUR LA FRANCE » EN JUILLET 2013, UN DEUXIEME PROGRAMME D’INVESTISSEMENTS D’AVENIR DE 12 MD€ A ETE INSCRIT DANS LA LOI N° 2013-1278 DU 29 DECEMBRE 2013 DE FINANCES POUR 2014.

12 MD€ INVESTIS ENTRE 2014 ET 2024 Le PIA 2 s’inscrit résolument au service de deux objectifs : • le renforcement de la compétitivité ; • le caractère durable du développement de l’économie nationale. À côte de la recherche et de l’enseignement supérieur, il donne la priorité à la transition écolo-

gique, l’Industrie, l’innovation et le soutien aux PME. LA TRANSITION ÉCOLOGIQUE ET ÉNERGÉTIQUE EST AU CŒUR DE CE NOUVEAU PROGRAMME Au-delà de la part significative des investissements directement consacrés à la transition écolo-

gique, plus de la moitié des investissements sont en effet soumis à des critères d’éco-

conditionnalité.

LE SOUTIEN À L’INNOVATION ET AUX PME DEMEURENT DES PRIORITÉS FORTES En matière de soutien à l’innovation, ont ainsi été mis en place : • 300 M€ pour le soutien aux Projets de R&D structurants pour la compétitivité (PSPC) ;

• 150 M€ pour le soutien à l’innovation de rupture, via le concours mondial Innovation 2030, en

complément des 150 M€ de subvention prévus au titre du PIA 1 ; • 120 M€ pour le Fonds national d’innovation. Enfin 1 Md€ est fléché sur des prêts aux PME, via Bpifrance. > Voir le tableau de toutes les mesures du PIA 2 en page suivante.

EN SAVOIR PLUS REPUBLIQUE FRANÇAISE (2014). Rapport relatif à la mise en œuvre et au suivi des investissements

d’avenir, annexe au projet de loi de finances pour 2015. REPUBLIQUE FRANÇAISE (2014). Investissements d’avenir.

1

UN NOUVEAU PROGRAMMED’INVESTISSEMENTS D’AVENIR NCE PAR LE GOUVERNEMENT DU PLAN « INVESTIR POUR LA

EN JUILLET 2013, UN DEUXIEME PROGRAMME D’INVESTISSEMENTS A ETE INSCRIT DANS LA LOI N° 2013-1278 DU 29 DECEMBRE DE FINANCES POUR 2014.

INVESTIS ENTRE 2014 ET 2024résolument au service de deux objectifs :compétitivité ;le caractère durable du développement de l’économie nationale.

côte de la recherche et de l’enseignement supérieur, il donne la priorité à la transition écolo-ion et le soutien aux PME.

QUE ET ÉNERGÉTIQUE EST AU CŒUR DE CE NOUVEAU PROGRAMME

delà de la part significative des investissements directement consacrés à la transition écolo-

gique, plus de la moitié des investissements sont en effet soumis à des critères d’éco-INNOVATION ET AUX PME DEMEURENT DES PRIORITÉS FORTESutien à l’innovation, ont ainsi été mis en place :

pour le soutien aux Projets de R&D structurants pour la compétitivité (PSPC) ;soutien à l’innovation de rupture, via le concours mondial Innovation 2030, en

de subvention prévus au titre du PIA 1 ;Fonds national d’innovation.

ché sur des prêts aux PME, via Bpifrance.Voir le tableau de toutes les mesures du PIA 2 en page suivante.

2014). Rapport relatif à la mise en œuvre et au suivi des investissements

, annexe au projet de loi de finances pour 2015.2014). Investissements d’avenir.

1

3. R&D ET INNOVATION B. Entrepreneuriat innovant 2. Les jeunes entreprises innovantes en 2013 RÉFORME DU STATUT JEI

INSTITUE EN 2004, LE DISPOSITIF JEI OUVRE DROIT, POUR LES ENTREPRISES

BENEFICIAIRES, A DES REDUCTIONS D’IMPOTS ET DE CHARGES SOCIALES SUR LES

EMPLOIS HAUTEMENT QUALIFIES, NOTAMMENT LES INGENIEURS ET LES CHERCHEURS.

APRES AVOIR ETE MODIFIE EN LOI DE FINANCES 2011 (INTRODUCTION DE PLAFONDS

ET DE LA DEGRESSIVITE DES EXONERATIONS SOCIALES), LE DISPOSITIF A ETE

RENFORCE PAR LA SUITE, AVEC DES PREMIERS EFFETS A PARTIR DU 1ER JANVIER 2012.

RÉFORMES DE 2011 En 2011, une réforme sur le dispositif JEI est votée en projet de loi de finances pour permettre à

l’État d’économiser 70 M€. Pour ce faire, de nouvelles règles sont mises en place pour les JEI

entrant dans le dispositif en 2011 comme pour celles déjà présentes. Un plafond d’exonération

par salarié et par établissement est introduit ainsi qu’un taux de dégressivité pour les entreprises

de plus de 4 ans. Cette réforme a été réaménagée en loi de finances rectificative 2011 pour

limiter l’impact pour les entreprises à 40 M€ à partir du 1er janvier 2012.

RÉFORMES POUR 2014 (PROJET DE LOI DE FINANCES POUR 2014)

Le projet de loi de finances pour 2014 prolonge le dispositif JEI au 31 décembre 2016 (aupara-

vant, le code général des impôts prévoyait l’arrêt du dispositif au 31 décembre 2013). Il supprime

également la dégressivité des exonérations de cotisations sociales patronales mise en place à

partir de 2011. Enfin, il assouplit le critère de réalisation de dépenses minimales de recherche et

développement en incluant dans le champ des dépenses les efforts d’innovation (conception

de prototypes ou d’installations pilotes de nouveaux produits). POUR ALLER PLUS LOIN…

Exonération fiscales : site des impôts

Exonérations des cotisations sociales patronales : site de l’URSAFF

LELARGE Claire (2008). « Le dispositif Jeune entreprise innovante a dynamisé les jeunes entreprises

de services de R&D », SESSI, Le 4 Pages, n° 245, mai 2088

HALLÉPÉE Sébastien et HOULOU-GARCIA Antoine (2012). Évaluation du dispositif JEI, Coll. DGCIS

Évaluation, septembre 2012

!!!!!!!!!!!!!!!! Fin de ce « Pour en savoir Plus » !!!!!!!!!!!!!!!!

02OSEO•PME 2012

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LATESTNEWS

SUIVEZL’ACTU

To access the digital version go to• www.bpifrance-lelab.fr/rpme2014/EN

To catch up with the latest news• @BpifranceLeLab• #RapportPME

LA CESSION-TRANSMISSION DES PME-ETI EN FRANCE, UN ENJEU DE CROISSANCEAlain Tourdjman, Thomas Le DretGroupe BPCE

Graphique 2 – Degré de préparation des dirigeants de PME à une cession partielle ou totale de leur entreprise

En % Moins de 40 ans 40-44 ans 45-49 ans 50-54 ans 55-59 ans 60 ans et plus

Oui, la cession est tout à fait préparée 6 8 11 12 31 36Non, n'ont rien préparé mais pensent le faire 15 12 20 16 20 13Non, la préparation n'est pas une préoccupation 65 69 53 53 35 28

Source : étude BPCE (enquête réalisée par CSA, juillet-septembre 2011).

Copyright : sauf spécification contraire des entités propriétaires des données, ces dernières peuvent être réutilisées, mais seulement à des fins non commerciales, dans le respect de l'intégrité de l'information et des données, et à condition de mentionner précisément les sources.

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