Barometer 2015: Social and economic performance of French digital business start-up

1. Social and economic performance of French digital business start-up Barometer 2015

2. Summary 1. Methodology 2. Executive summary 3. Key figures 3.1 Revenues 3.2 Fund raising 3.3 Innovation support 3.4 People 3.5 Value-sharing 4. Contacts

3. Methodology1

4. Barometer based on data from digital business start-up financed by venture capitalists Survey sent by venture capitalists to companies they invested in EY as a third-party to consolidate the data and ensure that the figures are kept confidential ► 171 participants (116 participants in 2013) ► Average age: 6 years (5 years in 2013) ► 3,3 M€ invested by VC (median) versus 4,8 M€ ► Key figures from financial data 2013 & 2014 Methodology1

5. Executive summary2

6. Page 6 Hyper growth & Born global +37% of revenues vs 2013 43% of revenues are generated abroad in 2014 25% of respondents have a foreign VC that already invested in the firm People +30% of employees in one year 92% of permanent contracts 44% of people employed by companies which revenues are from 5 to 50M€ 75% of employees have at least a Master Degree 9% of entrepreneurs are women Innovation support Value sharing 50% of the sample did not use « Young Innovative Company » tax incentive Research Tax Credit remains the preferred state incentive Tax controls decreased in 2014 Controls are now more focused on the Research Tax Credit 48% of share capital held by management and employees 93% of start-up use equity instruments 75% of start-up have positiv « EBIT » when reaching 50 M€ of revenues 98% never distributed dividends Social and economic performance of French digital business start-up

7. Key Figures3

8. Revenues3.1

9. Revenues3.1 0 500 1 000 1 500 2 000 2 500 3 000 3 500 2013 2014 2 913 0% 10% 20% 30% 40% 50% 60% 70% 80% 71% 30% 38% • Total Revenues (in M€) 2 123 • Growth of total revenues (in%) Analysis by revenue segment Barometer 2015 — 9 — 0 to 5 M€ 5 to 50 M€ + 50 M€

10. • Revenues worldwide • Growth of revenues (in M€) France Europe International 62% 57% 19% 22% 19% 21% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2013 2014 1 325 1 662 404 639393 613 0 500 1 000 1 500 2 000 2 500 3 000 3 500 2013 2014 +25% + 57% Revenues3.1 Barometer 2015 — 10 —

11. Fund raising3.2

12. • Average and median of fund raised (in M€) Analysis by revenue segment • International VC 4 21 33 2 11 24 0 5 10 15 20 25 30 35 40 0 to 5 M€ 5 to 50 M€ + 50 M€ Average Median 0% 5% 10% 15% 20% 25% 30% 35% 40% 0 to 5 M€ 5 to 50 M€ + 50 M€ 38% Percentage of foreign venture capitalists investing in French digital business start- up. Analysis achieved by revenue segment. 25% 23% 25% of start-ups are international VC backed 3.2 Fund raising Barometer 2015 — 12 —

13. Innovation support3.3

14. • Did you use the label « Young Innovative Company » (or « JEI » in French)*? 50% Yes 50% No * Analysis based on a sample of 109 participants in 2015 • Did you use the French research and development tax credit (CIR) ? ** ** Analysis based on a sample of 105 participants in 2015 Innovation support3.3 Barometer 2015 — 14 — 71% Yes 29% No

15. Barometer 2015 — 15 — 30% Yes 70% No 19% No 81% Yes Innovation Tax Credit (CII in French) Competitive employ tax credit (CICE in French) • Did you use the new tax credits launched in 2014*? Innovation support3.3 * Analysis based on a sample of 105 participants in 2015

16. Barometer 2015 — 16 — 7,6 M€ Received from BPI in 2014 2,1 M€ Received from BPI in 2013 27 Companies declare receiving BPI grant in 2014 21 Companies declare receiving BPI grant in 2013 • Did you receive BPI France grants* ? Innovation support3.3 * Analysis based on a sample of 89 participants in 2015

17. Barometer 2015 — 17 — Percentage of start-up that had the Tax administration performing a tax control during the year 15% 15% 16% 16% 17% 17% 18% 18% 2013 2014 * Analysis based on a sample of 115 participants in 2015 17% 16% • Tax controls in 2014* (in M€) Innovation support3.3

18. People3.4

19. Barometer 2015 — 19 — 0 2 000 4 000 6 000 8 000 10 000 12 000 2013 2014 2 232 jobs created 1 476 people hired in France 756 people hired abroad • People 7 452 9 684 For every one job created abroad, two jobs are created here in France People3.4 People3.4

20. Barometer 2015 — 20 — 92% 4% 2% 2% Permanent contract (CDI) Temporary contract (CDD & Interim) Professional training contract Internship 7% 18% 69% 6% High-school diploma or less Bachelor Degree or less Master Degree PhD • Type of work contracts (2014) • People qualification (2014) People3.4 People3.4 People3.4

21. Barometer 2015 — 21 — 44% 5 to 50 M€ 32% + 50 M€ 24% 0 to 5 M€ • Segmentation of employees by revenue segment of the digital business start-up People3.4 People3.4

22. Barometer 2015 — 22 — • Average age of staff 0 5 10 15 20 25 30 35 40 45 Average age Management Average age Employees 31 40 0,0 2,0 4,0 6,0 8,0 10,0 12,0 14,0 Minimum Average Maximum 0,7 2,3 10,7 0,4 2,3 12,4 • Ratio Management/Staff wages People3.4 People3.4 2013 2014

23. Barometer 2015 — 23 — * Analysis based on a sample of 114 participants in 2015 ** Analysis based on a sample of 97 participants in 2015 39% 4% 10% 46% Business developers / Marketing Sales support/Consultants Data Science / Business Intelligence IT Developers 88% Will hire in 2015 Looking for** 2015 Edition • Focus on recruitments for the year 2015* People3.4 People3.4 • Looking for**

24. Barometer 2015 — 24 — 73% Consider that IT Developers are the most difficult staff to recruit 2015 Edition • Focus on recruitments for the year 2015* People3.4 People3.4 * Analysis based on a sample of 71 participants in 2015

25. Barometer 2015 — 25 — 92% Yes 8% No • Are you both founder and manager of the company ? People3.4 People3.4

26. Barometer 2015 — 26 — 51% Yes 49% No 91% Men 9% Women • Serial entrepreneur • Chief Executive Officer People3.4 People3.4

27. Barometer 2015 — 27 — • Serial entrepreneur People3.4 People3.4 91% are men 40 years old 51% are serial entrepreneurs 94% have at least a master degree

28. Value sharing3.5

29. Barometer 2015 — 29 — • “Earnings before interests and taxes” or EBIT* • Percentage of positive “EBIT” by revenue segment* * Sample of 102 start-up 74% Loss 26% Gain 38% 5 to 50 M€ 75% + 50 M€ 17% 0 to 5 M€ People3.4 Value sharing3.5

30. Barometer 2015 — 30 — % of share capital held by external shareholders (VC, Business angels…) % of share capital held by owners and employees 52% 48% • Percentage of share capital held by owners and employees People3.4 Value sharing3.5

31. Barometer 2015 — 31 — 93% Yes 7% No * Analysis based on a sample of 104 start-up in 2015 • Are you using equity instruments to motivate your team*? People3.4 Value sharing3.5

32. Barometer 2015 — 32 — * Analysis based on a sample of 104 start-up in 2015 72% 11% 17% Warrants (BSPCE) Free shares (actions gratuites) Stock-options &common shares (BSA) • Types of Equity instruments* People3.4 Value sharing3.5

33. Barometer 2015 — 33 — Percentage calculated by doing the ratio between the number of employees owning equity instruments and the total number of employees. First chart presents data globally and the second chart is presented by revenue segment * Analysis based on a sample of 104 start-up in 2015 34% Of staff owning Equity instruments 2015 Edition 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 0 to 5 M€ 5 to 50 M€ + 50 M€ 39% 24% 17% • Percentage of employees owning equity instruments* People3.4 Value sharing3.5

34. Barometer 2015 — 34 — 2% Yes 98% No • Did you distribute dividends since the creation of the company ? People3.4 Value sharing3.5

35. Contacts4

36. Barometer 2015 — 36 — Franck Sebag Partner, EY VC & IPO Leader France @frsebag Xavier Lorphelin Managing Partner Serena Capital @Xlorphelin 4 Contacts

37. About France Digitale France Digitale bring together the champions of digital entrepreneurship: start-ups with strong growth plans and potential investors (venture capitalists and business angels). To build an alliance between digital entrepreneurs and investors, so that France becomes fertile ground for the creation of digital champions of International stature. For more information, please visit www.francedigitale.org. EY I Assurance I Tax I Transactions I Advisory About EY EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for communities. EY refers to the global organization and may refer to one or more of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. For more information about our organization, please visit www.ey.com.