There is still some public aid available for business creators. These are offered at the initiative of the State or local authorities in various forms. For example, the following are examples:
- aid for advice,
- financial aid,
- tax breaks,
- exemptions from social security contributions,
- provision of premises, etc.
This aid is not necessarily intended for projects. They can be :
- be allocated to very specific sectors of activity,
- depend on the location of the head office,
- be directly related to your current status (job seeker or employee for example),
- require the completion of substantial investments or recruitments.
The main purpose of this post is to inform you about the terms and conditions of these different aids in order to avoid wasting time by unnecessarily carrying out files.
In conjunction with these public aids, many private actions have been taken to help entrepreneurs to financially close their projects. These aids are proposed by associations, foundations, clubs, and even some large companies. Some of them are intended for the general public, while others only concern certain types of very specific projects (regulated professions).
They aim to promote :
A better geographical distribution of companies. For example: :
- the regional planning bonus granted by the Datar (Interministerial Delegation for Regional Planning and
- Attractiveness) to companies that set up in certain regional planning zones under employment and investment conditions,
- exemption from income tax for companies located in certain land use planning zones,
- exemption from local taxes (for the State’s share), etc.
The professional reintegration of job seekers. For example, for example:
- Exemption from social security contributions for one year (or more in some cases) for job seekers who create or take over a business (Accre scheme),
- the Nacre system (New support for the creation and takeover of companies).
The emergence and financing of innovative projects. For example, for example :
- BPI grants for preliminary studies and the development of innovation projects.
Local savings and financing of small businesses. For example:
- Tax reduction for subscribing to the capital of new companies,
- the deduction of loan interest,
Aid from local authorities
General principles to be respected by local and regional authorities
- Respect for the principle of freedom of trade and industry: local authorities, through their economic interventions, must not distort the free play of competition.
- Prohibition in principle of taking stakes in the capital of commercial companies and other profit-making organizations (commercial companies, civil companies, profit-making associations, etc.).
- There are, however, a few exceptions provided for by law: local semi-public companies, regional development companies, etc.
- Prohibition of discrimination between companies and citizens in comparable situations (principle of equality before the law). Local authorities must therefore adopt a general aid regulation defining the conditions of their intervention. Firms placed in closely comparable situations must be treated identically.
- Compliance with the regional planning policy defined by the State (planning contract) and with Community rules. Departments, communes or their groupings may only participate in the financing of this aid within the framework of an agreement with the region.
Legal rules concerning financial assistance from local authorities to help business start-ups
The regions are free to define the system of direct aid they grant. They only have to ensure compliance with Community competition rules.
Local authorities may grant aid in the form of subsidies, interest rate subsidies, loans or repayable advances, at zero interest rate or on terms more favorable than those of the average bond rate (TMO).
Exemptions from territorial economic contributions, property taxes, etc. are granted to local authorities.
They may be granted to companies setting up in certain areas, upon the deliberation of the local authorities.
Identifying regional aid
To find out about the regional and local aid that you are entitled to, consult the Who can help you? section of the AFE website or visit the website of the Observatory of Aid of the Institut Supérieur des Métiers: http://www.aides-entreprises.fr/.