What is the manager indicator?
If you hold, or have held, a position as head of company, either as the legal representative of a legal entity, or as a sole trader or a partner of a legal entity, the Banque de France assigns you a manager indicator on the basis of any court rulings your company has potentially been subject to. Banks may take this indicator into account in their decisions to grant business loans.
The possible values for the manager indicator are:
- 000: neutral indicator. This is the value assigned by default when there is no court ruling concerning yourself, your company or a company that you have run.
- 060: significant indicator. This is the value assigned in the event of a judicial liquidation order concerning a company that you have run, or in the event of a court order concerning yourself as an individual.
What is a significant indicator?
The circumstances under which the indicator 060 may be assigned are as follows:
- You hold, or have held, a post of legal representative or sole trader in at least three companies, each of which has been the subject of a judicial liquidation order within the past five years (except where these companies are the subject of a joint ruling or extension of a ruling).
- You as an individual are the subject of one of the following court rulings:
- personal bankruptcy (duration of the indicator set by the court)
- a bar on directing, managing, administering or controlling a company (duration of the indicator set by the court)
- judicial turnaround procedure (duration of the indicator limited to two years if order not extended)
- judicial liquidation order (duration of the indicator limited to five years if order not extended)
How is the indicator produced?
The manager indicator is produced using freely accessible public data from court offices responsible for commercial cases, by means of an objective and transparent system of assessment. It is devoid of any value judgement about your managerial abilities, but draws to the attention of players involved in the financing of the economy who subscribe to the FIBEN company database information collected from official sources.
Who has access to your indicator?
The manager indicator is communicated to you when it is different from 000, or when it returns to 000. It can also be accessed by FIBEN subscribers, in accordance with procedures set out in article D. 144-12 of the Monetary and Financial Code.
FIBEN subscribers are free to take account of your manager indicator when processing applications for credit for business purposes. They may wish to have a discussion with you in order to understand your situation. However, taking account of data disseminated in FIBEN when processing applications for credit for private purposes is prohibited.
What is segmentation?
The Banque de France’s segmentation of companies is based on an analysis of defaults on trade bills. It contributes to a better understanding of small businesses.
Which companies are covered by segmentation?
Companies of a civil or commercial nature, excluding sole traders and financial companies, are eligible for segmentation if they meet the following criteria:
- the company’s head office is located in metropolitan France or France’s overseas departments
- its turnover is below €0.75 million (and its Banque de France turnover rating is therefore J, K, L, M or X)
- no unfavourable information (court ruling, significant event, etc.) has been recorded with respect to it, so it has a neutral credit rating (0)
How is the segmentation constructed?
The segmentation of companies results from statistical processing based on analysis of objective qualitative and quantitative data. Three variables are used to calculate it:
- a “descriptive” variable which aggregates the company’s date of creation, legal category and sector of activity. Length of existence has a favourable impact on this variable
- a “bank debt” variable derived from the monthly data collection carried out by the Banque de France: share of short-term loans and of trade receivables
- a “defaults on trade bills” variable, collected by the Banque de France via the Centrale des incidents de paiements sur effets (CIPE – National Database of Trade Bill Payment Incidents)
How is the segmentation structured?
The segmentation can take different values ranging from 1 to 6: 1 indicates the most positive statistical elements, 6 the least positive.
||No defaults on trade bills, descriptive data: company’s date of creation, sector of activity, legal category
|Segments 2 and 3
||No defaults on trade bills, descriptive data, bank debt
||No defaults on trade bills or possible defaults of less than €1,524, descriptive data, bank debt
||Possible defaults on trade bills, descriptive data, bank debt
||Defaults on trade bills, descriptive data