the end of aid sounds the death knell for a number of SMEs

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Aurélien Fleurot, edited by Solène Leroux
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6:39 p.m., April 12, 2022

It’s a hard reality check. With nearly 10,000 business failures in the first quarter of 2022, the pace has accelerated significantly: +35% in one year, according to figures from Altares, historical expert and benchmark in business data. It’s not quite the level of 2020, but the acceleration has been abrupt for a few weeks. End of aid, changes in consumer habits, and in one out of two cases, the youth of the company is in question.

“These companies did not have time to meet their business. They did not have time, without being able to benefit from all the aid, since there was not enough activity history “, specifies at the microphone of Europe 1 Thierry Millon, director of studies at Altares.

The companies most affected by these failures

The specialist also explains what types of businesses are concerned: “These are small businesses, more in trade, catering, but also a few craft businesses in the building industry.” In building, construction, but also in the mechanical and metallurgical industries.

The loss experience is particularly marked for young companies (48% of failures concern companies between 0 and 5 years old) and SMEs with fewer than 50 employees (645 SMEs of this size have failed, i.e. +56%). Most activities are in the red but those intended for the consumer, such as personal services, catering or trade, are more weakened.

Hauts-de-France, Burgundy… The regions most affected

The failures are accentuated by the uncertainties linked to Covid-19 in January, the continuing shortages of raw materials and the price increases. Hauts-de-France, Burgundy, Franche-Comté and Normandy are among the most impacted regions in France at the start of 2022.

The reversal is also observed in almost all territories, with the exception of Corsica. In Île-de-France, however, the increase is twice as low as the national average.

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