IMPACT partenaires launches EUR 50 million investment fund to create franchises in French urban deprived areashttp://www.impact.fr/wp-content/themes/corpus/images/empty/thumbnail.jpg 150 150 Impact Partenaires Impact Partenaires http://www.impact.fr/wp-content/themes/corpus/images/empty/thumbnail.jpg
France, Bonneuil-sur-Marne, République shopping center restructured by Epareca, March 17th 2017
Today, 5 million French people live in 1,500 priority areas identified in municipal policies : territories with less shopping facilities and hardly any national retail chains (3.6% of local shops). It represents 8% of the French population and a market with economic potential, skills, willingness to undertake and participate in the lives of their neighborhoods.
That is why IMPACT partenaires is launching IMPACT création, the investment fund dedicated to creating franchises in French urban deprived areas with the support of BPI France, Programme d’Investissement d’Avenir, EIF, Française des Jeux and Région Ile-de-France. The purpose of this investment fund is to provide capital to entrepreneurs based in French urban deprived areas to open renowned franchises such as Burger King, Carrefour, Courtepaille, Speedy, Emova, Mail Boxes Etc., Pharmactiv, Pizza Hut, Franck Provost, Stockerseul and Tablapizza.
On March 17th, IMPACT création officially launched its first investment with Carrefour Proximité. This new Carrefour City franchise will be set-up in Bonneuil-sur-Marne in a shopping mall refurbished by Epareca, and this business will contribute to the local economy.
“This innovative project is in line with Carrefour’s values and societal engagement, so we naturally agreed to join in with this wonderful initiative. We are also delighted to be the first brand to take part in this project and are pleased to announce that we will soon be opening the first store to benefit from this facility, in Bonneuil-sur-Marne,” said Christophe Rabatel, CEO of Carrefour Proximité and Cash & Carry France.
A total of EUR 50m will make it possible to finance 200 to 250 franchised businesses, generating more than EUR 200m in turnover and creating more than 2,000 jobs over ten years. These companies will also account for additional social security payments of EUR 13m a year and additional tax revenue of EUR 3m for the most vulnerable areas.
Speech by the President of France for the launch of the fund IMPACT Création
To support the fund and with the assistance of the JP Morgan Chase Foundation, IMPACT partenaires is launching a range of services for future entrepreneurs, including a website: www.montetafranchise.com. This website enables anyone wishing to open a franchised business in their district to test their motivation and complete a free certified training course from the Conservatoire National des Arts et Métiers (CNAM) and the Fédération Française de la Franchise. 20 000 candidates will have access to this dedicated online training course. The Foundation will also provide these entrepreneurs with dedicated support designed to help them to set up in these areas and guarantee an inclusive recruitment approach.
“We are delighted to support this new and innovative project for working class districts, and are certain that it will make a solid contribution to the economic and social development of these areas,” said Kyril Courboin, Head of JP Morgan in France.
This national fund is subscribed by Bpifrance via the Priority Districts Fund of Funds (Fonds de Fonds Quartiers Prioritaires – FFQP), managed as part of the Future investment programme (Programme d’investissements d’avenir) and directed by the Commissariat Général à l’Investissement (CGI), as well as on its own account, the European Investment Fund (EIF), BNP Paribas and Française des Jeux.
For Nicolas Dufourcq, CEO of Bpifrance, “thanks to IMPACT création, Bpifrance is pleased to support this programme tailored to entrepreneurship in working class districts with a major impact on the employment and attractiveness of these vulnerable areas.”
Marie-Claire Capobianco, Member of the Executive Board of BNP Paribas and Head of French Retail Banking, said that as “a historic partner of IMPACT partenaires and committed to working class districts, we are delighted to take part in this new initiative bringing growth, hope and social connections via local businesses.”
These investors see a social issue echoing their activities. Stéphane Pallez, CEO of Française des Jeux, commented: “FDJ is a major player in local business in France through its network of over 31 000 outlets. By taking part in the IMPACT création fund, we are expanding our action to promote economic activity and business development in these areas and are helping to support FDJ outlets in priority city districts.”
The fund is supported by the European Investment Fund (EIF), the European Investment Bank (EIB) subsidiary specialised in supporting European micro-enterprises and SMEs. The EIF developed the Social Impact Accelerator (SIA), a social impact fund of funds dedicated to supporting European social enterprises for which this is the tenth transaction in Europe, with France being its number one beneficiary. “By financing and assisting project promoters in priority districts, the EU, via the European Investment Fund, is supporting employment and social cohesion,” highlighted EIB Vice-President Ambroise Fayolle. “We are improving the daily lives of local residents. I would like to see this kind of financing develop in France and across Europe.”
EIF Chief Executive Pier Luigi Gilibert said: “I am very pleased to confirm our investment in IMPACT création I with IMPACT partenaires, here in Bonneuil-sur-Marne, via EIF social impact fund of funds. This new line of financing will create jobs and new opportunities for future entrepreneurs in French deprived urban areas.”
This initiative was also subject to a Social Impact Contract (Contrat à Impact Social) with the Ministry for Economic Affairs and the Ministry of Urban Affairs, which have undertaken to pay EUR 1m in 2022 upon the achievement of social objectives in terms of job creation, people trained and the number of franchised businesses created in these districts.