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The Covid-19 has had contrasting effects on the health of the start-up

The effects of coronavirus on start-up are quite comparable to those seen in humans: the more they are young, the less they are affected! A study carried out by Station F, the incubator for start-up of Xavier Niel, has generated 956 responses of start-ups and investment funds, from five countries, including France and Germany.

Over 92% of the start-up are impacted by the crisis, but the effect increases with maturity. Those who have not yet raised funds to boot (next-seed) are affected by 85,49% when 97,37% of those in series B (second phase of fundraising) are affected.

regardless of their age, the impact of the crisis is negative for three-quarters of start-up.... 6% of them intend to stop their activity within six months. Nevertheless the responsiveness and adaptability that are characteristic of this type of business, they are also 18% to be rotated to change the market.

All start-up as they are, they do not escape, not however to the general rule of the market that wants that the activities of communication and marketing are particularly vulnerable to the economic downturn. If they are the most affected, the second category is for those who are specialized in human resources and recruitment. Finally, those working in the field of tourism are also those that have laid off the most employees.

expense Reduction

However, the study notes the importance of State aid in France. They have played their role of shock absorber of the crisis. The use of partial unemployment allowed to limit the layoffs. Better still, the job recovery will be strong by the end of the year with more than 70% of start-ups that plan to hire. On the contrary, start-ups, German are much more exposed, with a significant risk of cuts to the key.

The table is therefore far from being completely black, including the side of the job: 47.9% of start-ups have been hiring since march and they are 78.2% to consider the appointment of new staff by the end of the year. The developers are the most sought after, followed by sales and marketing. Develop and sell the products are the two pillars of growth.

Side financing, the assessment is contrasted. Start-ups have quickly responded by cutting their spending. Only 26.25% of the French are seeking to raise funds, a proportion that rises to 37% for all five countries. This discrepancy is explained by the importance of the aid which they were granted and by the bridge put in place by Bpifrance. If the start-ups that were being raised have generally been able to rely on the commitment of their investors, they are also 18.3% to deplore the withdrawal of at least one of them, in the course of the process.

The editorial team conseilleCoronavirus: France is mobilising eur 4 billion for his start-upSujetsStation FStart-upAucun comment

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