• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

French Businesses on the Brink: Surge in Bankruptcies and New Wave of Entrepreneurship

user avatar

by Giorgi Kostiuk

10 months ago


  1. An Economy in Crisis
  2. The Other Side: A Will to Undertake Despite Everything
  3. Conclusion

  4. With the end of government support, many French businesses are facing harsh economic realities. This article examines recent data to understand the extent of the failures, analyze underlying causes, and explore the paradoxes of this challenging period for entrepreneurs.

    An Economy in Crisis

    The first half of 2024 marked a worrying turn for the French economy, with an unprecedented escalation in business failures. According to the National Business Barometer, insolvency proceedings have jumped by 20.5%, reaching a total of 30,406 companies in difficulty. This dramatic increase reflects a deep malaise, fueled by a degraded economic context. The real estate, construction, and transport sectors, particularly exposed to inflationary shocks and the energy crisis, are among the hardest hit. Judicial liquidations have skyrocketed with a staggering increase of 66.1%, highlighting the severity of the situation. The domino effect caused by rising raw material costs and falling demand has created fertile ground for these serial bankruptcies, affecting both large and small businesses alike.

    Behind these figures lies the brutal reality of an entrepreneurial fabric in distress, orphaned by the aid that had helped through the health crisis. The gradual withdrawal of the “*whatever it takes*” approach has left businesses facing unprecedented economic adversity. The lack of liquidity, coupled with increasingly restricted access to credit, has led many businesses to bankruptcy, with no possibility of recovery. This wave of failures testifies to a structural vulnerability that the support measures had temporarily masked. Now, this vulnerability is coming to light and threatens to turn the cyclical crisis into a true systemic collapse.

    The Other Side: A Will to Undertake Despite Everything

    Paradoxically, while the French economy totters under the weight of bankruptcies, an unexpected dynamic is emerging on the business creation front. The first half of 2024 saw a 9% rebound in new registrations, a sign that the entrepreneurial spirit persists despite a largely unfavorable environment. This resurgence of initiative is partly rooted in the resolution of technical malfunctions of the new registration platform, which had stifled the ambitions of many entrepreneurs in 2023.

    However, this phenomenon should not mask the deep disparities that persist. While some regions like Île-de-France, boosted by the Olympic Games effect, record strong growth, others, notably the overseas departments, continue to sink, undermined by structural economic difficulties and a cruel lack of support.

    Similarly, this will to create contrasts sharply with the reality of some sectors struggling to recover from the crisis. Accommodation, catering, and construction sectors continue to suffer from a labor shortage and a drop in demand, thus hindering any sustainable recovery.

    This dichotomy between the creation and disappearance of businesses highlights a two-speed economy. The French economy is at a decisive crossroads, where the surge in bankruptcies and entrepreneurial momentum coexist in palpable tension. While some statistics and the resilience of some economic actors inspire some optimism, they cannot compensate for the severity of the crisis affecting a large part of the economic fabric.

    Conclusion

    In conclusion, the French economy is experiencing a critical period characterized by a sharp increase in bankruptcies and a parallel resurgence of entrepreneurial activity. Despite harsh economic conditions and the removal of government support, some entrepreneurs continue to fight and create new companies. This paradoxical period highlights the importance of structural reforms and support to ensure a sustainable economic recovery.

    The French economy is at a crossroads, with a surge in bankruptcies and vibrant entrepreneurial activity. Understanding the causes and finding ways to support businesses in times of crisis is essential.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

Other news

Bitcoin's Future: $200 Trillion Market Cap by 2030

chest

Adam Back predicts at the Bitcoin 2025 Conference that Bitcoin's market cap could reach $200 trillion by 2030 amid increasing institutional support.

user avatarGiorgi Kostiuk

The Invest America Act: What Lies Behind the Proposal for Tax-Advantaged Accounts?

chest

The Invest America Act remains under Senate review, with no impact on the cryptocurrency market.

user avatarGiorgi Kostiuk

Unlikely Mining Success Stuns Cryptocurrency Sector

chest

A Bitcoin miner secures $349,000 against odds of 0.004%, highlighting risks in the crypto landscape.

user avatarGiorgi Kostiuk

A Solo Bitcoin Miner Secures a $349,000 Windfall

chest

An unusual case in Bitcoin mining: an individual miner wins a prize of $349,000 despite odds of 0.004%.

user avatarGiorgi Kostiuk

Unusual Bitcoin Transfers Worth $8.6 Billion: Expert Analysis

chest

Significant Bitcoin transfers from old wallets raise questions about potential hacks and market pressures.

user avatarGiorgi Kostiuk

Overview of Best Performing Cryptos of 2025: BlockDAG, Cronos, Filecoin, and Litecoin

chest

Analysis of BlockDAG, Cronos, Filecoin, and Litecoin's chances of success in 2025 based on their current performance and technological advancements.

user avatarGiorgi Kostiuk
dapp expert logo
© 2020-2025. DappExpert. All rights reserved.
© 2020-2025. DappExpert. All rights reserved.

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.