Body gives credit where credit's due

THE government has set up a mediation service le Médiateur du crédit to help business owners who need loans to manage cash-flow and have been refused them.

Small business “cells” which have been set up by employers’ representatives Medef around France can assist with an application to the médiateur or you can seek advice from your chamber of commerce or trade or accountant.

To apply personally (saisir) to this official, you can fill out a form online or send a letter or email. Include matters such as banks who have refused you and details of your finances.

See www.mediateurducredit.fr

The banks concerned will be contacted and will have a week to justify their decision or come to an arrangement with your firm.

Appeals to departmental and national level mediators are possible as a final resort. Confidentiality is assured.

This scheme was launched at the end of October 2008. The government also agreed to help small businesses cope with the financial crisis by allowing them to defer social charges payments if in serious cashflow difficulties.

To do this you need to contact your main social charges body (eg. Urssaf or RSI) and negotiate a postponement. The result may could vary and you have to prove you are in financial difficulty.