Region: MP Paul Midy comes to Montpellier and Nîmes to “see the richness of the ecosystem”

Paul Midy (d.) et Nordine El Ouachmi (g.) DR – DR

MP Paul Midy, author of a report on the financing of start-ups, will present his measures on Wednesday, at the Halle de l'Innovation in Montpellier, and the next day in Nîmes. Joint explanations with Nordine El Ouachmi, president of French Tech Méditerranée, which represents regional innovative companies.

Author of a report on the financing of start-ups, presented by Emmanuel Macron in June 2023 at the VivaTech show, the deputy for Essonne Paul Midy (Renaissance) obtained adoption by the Government of 57% of the measures it proposed. A former startuper, this MP is today on the Tour de France of French Tech capitals to present them, and will be this Wednesday, January 31 in Montpellier, and the next day in Nîmes. Explanations during a joint meeting with Nordine El Ouachmi, president of French Tech Méditerranée, local branch of the movement, which represents the two cities.

Also read: French Tech, the digital ecosystem in Montpellier, celebrates its tenth anniversary

"The mission entrusted to me by Elisabeth Borne at the beginning of 2023 ended in June, with the presentation of the report that I' #39;I wrote by the government, recalls Paul Midy. However, my objective remains the same with this tour of France, which today takes me to Montpellier and Nîmes." An objective that the MP assures has two sides: "on the one hand, I want to make entrepreneurs aware of the financing measures that I have recommended and which are available today, on the other &amp ;quot;be here listening to our entrepreneurs, investors, academics… in our capitals, and discover their problems, but also discover the richness of our regional ecosystems."

Promote these financing measures

A welcome arrival from the local ecosystem, explains Nordine El Ouachmi. "The arrival of Paul Midy in our cities is very important for us, because he has a reputation and a community that can make our ecosystems shine. In addition, the measures on financing start-ups resulting from its mission are too little known to our entrepreneurs." A lack of knowledge which makes "essential", according to him, " evangelizing these measures to our start-ups."

"I come to Montpellier and Nîmes to promote investment by individuals in start-ups"
(Paul Midy)

In fact, these measures, applicable mainly from January 1, 2024, aim to find new sources of financing for start-ups, and thus create more than 50,000 jobs by 2028. In addition to the possibility open to these companies for public procurement, these measures also include the "Young Enterprise" system, mainly focused on companies in which R&D is important, in particular those operating in "deep tech", these measures essentially allow a redirection of the savings of the French, mainly oriented towards the stock market and real estate, towards the financing of start-ups. Accompanied by a tax credit of up to ’50,000 € for total investments in start-ups, this measure aims to transform individuals into "business angels".

Essentially aimed at "early stage" start-ups, or at the beginning of their history, this measure and its tax advantage are too little known to the French at the moment. "We are only at the beginning of the story for this measure notes Paul Midy. "If we take the example of the United Kingdom, which certainly has a start-up ecosystem twice as big as ours, the tax measure has existed for more than 30 years! " he regrets. "We therefore see that there are between 25,000 and 30,000 individual investors there, compared to 5,000 in France, or six times less, which makes quite a difference!".

An investment that is too little known to individuals

"This system makes it possible to raise 2 billion€ in the United Kingdom and create 25,000 jobs per year, while in France, the individual business angel represents a maximum of 200 M€ per year!" regrets Paul Midy. A figure that the MP promises to reach quickly, for start-ups in the early stages. A goal which, according to Nordine El Ouachmi, "comes at the right time in the current context, with television shows such as Who Wants to Be My Associate. We see that people are more and more interested in entrepreneurship and financing. Some small start-ups that are starting up are only funded by individuals, with tickets ranging from 100 to 1,000 €."

A device which also has the advantage of reducing differences in the entrepreneurs' backgrounds, and more easily encouraging & quot;the diversity of backgrounds and their feminization, two subjects which animate French Tech at the moment", notes Paul Midy. It in fact ensures that an entrepreneur who has little network " will thus more easily call a footballer or a somewhat well-off individual in his neighborhood, than ;#39;a Parisian investment fund, which does not speak the same language as him."

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