French Crowdfunding Association [Financement Participatif France] And France Fintech Merge

Financement Participatif France (FPF) – the French crowdfunding association, and France Fintech (FFT) have announced a merger of the two organizations.

According to a note from the two groups, FTF currently represents over 350 members and 100 partners operating in the Fintech sector.

FPF represents approximately 150 members that span the spectrum of online capital formation. FTT is also one of the organizers of the French Fintech Week, and is a member of the Comité Fintech ACPR-AMF, founder of the board of l’EDFA (European Digital Finance Association).

Launched in 2012 at the advent of updated regulations designed to encourage crowdfunding, FPF has been the leading voice advocating on behalf of prudent regulation to boost crowdfunding while ensuring an environment that is conducive for online capital formation to grow.

FPF has provided data annually on sector activity, and the group reports over €9 billion of collective investment, which currently stands at around €2 billion annually.

FPF explains the merger as a way to boost overall exposure for crowdfunding and gain more access to Fintech tools.

FFT was created in 2015. It seeks to cover all aspects of financial technology, including financing, Insurtech, payments, digital banking, blockchain (DLT), and more.

FFT provides a vehicle to collectively manage existing or emerging issues in the financial services industry, such as governance, regulation, financing, technological developments, and social and environmental impact. FFT aims to champion Fintech in France while strengthening its position globally.

The combination of the two entities is said to arrive at a key moment. As France is home to 14 tech unicorns, as well as experiencing a boom in Fintech employment (50,000+ new jobs), the economy is also struggling in a difficult funding environment. As new EU regulations arrive and more services are demanded from Fintech providers, the potential collaboration between online capital formation and Fintech startups can benefit from pooled resources.

The combination of FPF within FFT is said to take place in the form of a Participatory Financing college equipped with a steering body made up of entrepreneurs and qualified personalities from the FPF Board of Directors.

The College aims to allow members of the association to discuss their specific issues and perspectives to continue the work initiated by FPF on the subjects of ethics, data, regulations, training, and representation of the sector while benefiting from the services of FFT.

FPF Executive Director Florence de Maupeou will become Deputy General Delegate for Crowdfunding and Institutional Relations.

“For more than 10 years, FPF has supported crowdfunding players in their development and has been their voice with regulators and public authorities. The progress made is phenomenal, but today, we need renewal and a broader sounding board. Because the subjects that we address are increasingly transversal with other Fintech players, because the platforms are developing in various activities, because our issues are also becoming European, because the context is complicated and together we are stronger, the rapprochement of our two associations makes much sense,” said de Maupeou. [translated]

Damien Guermonprez, Executive Chairman of Lemonway, and Mathilde Iclanzan, Managing Director of WiSeed, President and Vice-President of FPF, respectively, said the merger was a “marriage of the heart and reason.” The two said that financing needs have never been so acute, and the need for crowdfunding has never been stronger.

Caroline Lamaud Dupont, co-founder of Anaxago and Vice President of FFT, said that the merger will only benefit entrepreneurs.

“France Fintech and Financement Participatif France know each other well and have worked together for many years,” said  Alain Clot, President of FFT.  “The two organizations share the same values ​​and the same sense of commitment to serving entrepreneurs. This movement therefore seems natural to me and will strengthen our capacity for action to contribute to the development of a French and European sector of excellence.” [translated]

This past February it was reported in the 5th annual Crowdfunding Barometer – tracking the performance of online capital formation in France, that crowdfunding had declined for the first time in 2023. Online investment in real estate projects is the dominant segment of online capital formation.