Coface has released the 4th edition of its Payment Behaviour Survey of French Businesses, conducted in June among 690 companies. The findings highlight a further deterioration in payment practices across France: 89% of businesses experienced late payments over the past 12 months, while the average payment delay has increased to 41.2 days. Micro-enterprises remain the most vulnerable, facing both longer payment delays and greater pressure on cash flow.
Key figures
- 89% of French businesses experienced late payments in 2026.
- Average payment delay reached 41.2 days, rising to 46 days for micro-enterprises.
- 58% of micro-enterprises consider the impact of late payments on their cash flow to be "very significant" or "critical".
- 43,282business insolvencies were recorded during the first seven months of 2026, representing a 6% year-on-year increase.
Late Payments Hit an All-Time High
Offering payment terms remains standard practice in France, with 97% of businesses extending credit to customers and an average payment period holding steady at 50 days. While longer than Germany's 31 days, France's payment period is now shorter than those observed in Poland (53 days) and the United Kingdom (57 days).
Data used for the graph in .xlsx format
The clearest warning sign lies in the rise of late payments, a key indicator of economic stress. In 2026, 89% of French businesses reported late payments, compared with 86% in 2025, 85% in 2024 and 82% in 2023. This figure exceeds levels reported in Germany (81%), Poland (64%) and China (86%), and matches the United Kingdom (89%).
Longer Payment Delays Increase Pressure on Business Cash Flow
The average duration of late payments has increased significantly, reaching 41.2 days compared with 39.5 days in 2025 and 37.6 days in 2023. Micro-enterprises are particularly exposed, with an average delay of 46 days, compared with 39 days for SMEs and 36 days for mid-sized and large companies.
Beyond the length of payment delays, their impact on liquidity continues to intensify. Today, 58% of micro-enterprises describe the effect on cash flow as "very significant" or "critical", compared with 40% of SMEs and 26% of mid-sized and large enterprises. According to respondents, the primary cause is the financial difficulties faced by their customers (47% of responses), far ahead of organisational issues (21%) and deliberate payment delays unrelated to financial difficulties (19%).
Business Insolvencies Continue to Rise
The deterioration in payment behavior is being accompanied by a sustained increase in corporate insolvencies. Since the end of 2023, insolvency levels have remained well above pre-pandemic figures, and 2026 confirms this trend. A total of 43,282 business insolvencies were recorded during the first seven months of the year, up 6% year-on-year and 46% compared with 2019.
The sharpest increases were recorded in business services (+12%), the food and agriculture sector (+11%), and the automotive industry (+8%). While micro-enterprises account for more than 90% of cases, medium-sized and large companies are also increasingly affected. Between July 2025 and June 2026, 64 insolvencies were recorded among these larger businesses, compared with just 27 in 2019.
Against this backdrop, €3.6 billion in trade payables were impacted during the first seven months of the year, contributing to the loss of nearly 160,000 jobs. Coface forecasts a further 7% increase in business insolvencies across 2026, followed by a 9% rise in 2027.
Data used for the graph in .xlsx format
Businesses Enter 2027 with Declining Confidence
Against an already challenging economic environment, businesses expect conditions to worsen further. More than half (56%) anticipate a deterioration in business activity in 2027, compared with 49% a year earlier, while only 9% expect an improvement.
The French political and social climate remains the leading concern for businesses, ahead of geopolitical tensions and rising raw material costs. This growing pessimism is also being fuelled by external pressures already affecting companies today.
More than three-quarters of businesses with direct trade links to the United States report feeling the impact of US tariffs. Among them, 32% have been forced to reduce profit margins, while 27% have experienced a decline in exports. Meanwhile, tensions in the Middle East and disruptions in the Strait of Hormuz have affected 84% of surveyed businesses, primarily through higher operating costs, particularly in industrial sectors such as chemicals.
The widespread occurrence of late payments is no longer merely an indicator of tensions between businesses. It is becoming a factor that undermines their cash flow, particularly for the smallest organizations.
In an uncertain economic and political environment, the lengthening of payment delays will ‘fuel a rise in insolvencies in 2027’.
said Carine Pichon, Managing Director for Western Europe and Africa at Coface.
> Learn more about Late Payments in France by downloading the full study.
