Financing Digital Innovation: Why French Companies Are Tightening Their Belts

Innovating costs more, and it's becoming increasingly hard to finance. That's the finding of the digital innovation financing barometer, published by trade association Numeum in partnership with consulting firm Ayming: only 43% of companies surveyed now consider it easy to innovate in France, down from 64% two years ago. A figure that directly affects the thousands of SMEs and freelancers in the digital sector.

The study was conducted among 116 companies of all sizes, between November 2025 and January 2026. It paints the picture of an ecosystem that remains active but is facing tighter access to capital and growing regulatory pressure.

Money, the number one obstacle to innovation

Unsurprisingly, financing remains cited as the top obstacle by the companies surveyed. At a time when fundraising is becoming rarer and more selective, tax incentive schemes supporting R&D play an increasingly central role. This is also what the record number of business failures observed in France this year already showed: cash flow has become the make-or-break factor for many companies, innovative or not.

CIR, CII, IP Box: the backbone of French R&D

Three schemes stand out as the pillars of public innovation financing:

• The Research Tax Credit (CIR), by far the most widely used, with 62% of companies surveyed relying on it;
• The Innovation Tax Credit (CII), more focused on prototyping and SMEs;
• The IP Box, which allows income from patents and protected software to be taxed more favorably.

For those discovering these mechanisms for the first time, how the innovation tax credit works remains the simplest entry point: it reimburses part of the expenses related to designing new products, even for a small company without a dedicated R&D department.

Artificial intelligence, the new driver of investment

Another striking finding from the barometer: AI is now emerging as the leading driver of research and development investment in the digital sector. Companies that treated it as a mere experimental avenue just two or three years ago now make it a budget priority, on par with cybersecurity or cloud computing. This shift ties into broader debates about regulating AI, such as the call for international rules issued at the United Nations by several major players in the sector.

What this means in practice for businesses

For an SME or a digital startup, three consequences emerge: more competitive public financing applications, heightened scrutiny over the actual eligibility of expenses declared under the CIR, and a growing need to balance investment in AI against preserving cash flow. The barometer's message is clear: technical creativity is no longer enough—being able to tap into the right tax schemes is becoming a competitive advantage in its own right.

Checklist: what to check before declaring your innovation

• Do the expenses incurred correspond to an R&D or innovation activity recognized by the tax authorities?
• Does the technical file clearly justify the project's degree of scientific or technical uncertainty?
• Has the company compared the CIR, CII, and IP Box to identify the scheme best suited to its activity?
• Has specialized support (a consulting firm, an accountant) been considered before filing the application?

Frequently asked questions

Who conducted this barometer on innovation financing?

This is the fourth edition of the annual barometer published by Numeum, France's leading professional organization for the digital sector, in partnership with consulting firm Ayming.

Why is access to financing tightening for innovative companies?

The barometer points to a dual effect: more difficult access to capital amid a tense economic climate, and stronger regulatory pressure that complicates the management of innovation applications.

Does the Research Tax Credit remain the most widely used scheme?

Yes: with 62% of responding companies relying on it, the CIR remains far ahead of other schemes such as the CII or IP Box.

Sources

Numeum — 2026 Innovation Financing Barometer
IT for Business — French R&D under pressure
Ayming — Innovation Financing Barometer

This article was written with the help of artificial intelligence. Editorial policy