The number of business leaders forced to close their businesses reached an unprecedented level in France in 2025. According to a study by the Entrepreneurial Employment Observatory, conducted by the GSC association and data specialist Altares, 61,459 business owners lost their jobs last year. This figure represents a 1% increase compared to 2024, following several years of sharp rises linked to the post-Covid economic recovery.
According to the study's authors, this situation reflects an uncertain economic climate that is weakening many business leaders. The sectors most affected remain construction, which accounts for 25,2% of bankruptcy proceedings, and retail, with 21,3%. In both of these areas, however, business failures declined slightly in 2025, while other sectors recorded sometimes significant increases.
Younger entrepreneurs are increasingly concerned
The study also highlights a younger demographic among business leaders affected by business closures. The median age of the entrepreneurs concerned has decreased from 46,3 years to 45,8 years, with an increase in the number of young leaders under 26 facing bankruptcy. However, the 41-50 age group remains the most affected, accounting for 28,4% of job losses among business owners.
Older business leaders appear to be weathering the storm better. Business losses fell by 4,6% among 51-60 year olds and by 8,2% for those over 60. According to analysts, five years of economic instability have severely impacted the financial and morale of many entrepreneurs, while business failures remain high in France.
