Unicorn Path #4: How long does it take to become a unicorn? The 42 French unicorns
Time flies when you're building a startup. The journey to becoming a unicorn can vary widely in length, influenced by many factors. Let's explore the paths that startups take to reach unicorn status.
Introduction
I have always wanted to understand how long it can take to become a unicorn, especially in my country, France. My first assumption was, “Becoming a unicorn takes between 5 and 10 years.” I expected some exceptions, such as Mistral and OVHCloud, which are known for becoming unicorns—one very quickly and the other over a long process.
Let’s dive in and check it out!
Key Insights
The structure of this article will be simple, and I will highlight only the key insights from what I’ve found. As I continue the process of understanding how, why, what, and how long it takes for these unicorns to achieve their status, this article is one of the most important. The timeline is particularly interesting.
Below you’ll find key insights from this study. At the end of the article, you can find the chart and draw your own conclusions.
Average
On average, it takes 8 years and 7 months to become a French unicorn.
24 of the 42 French unicorns are below this average. These are often young unicorns, founded within the last 10 years, such as Ankorstore (founded in July 2019), Sorare (founded in December 2018), and Verkor (founded in July 2020).
The results meet my expectation that a unicorn needs between 5 and 10 years to emerge. In fact, 20 unicorns fall within this range.
As usual with our French unicorns, we have outliers and trends that you can find below. ⬇️
The Year 2021
Every startup aficionado knows that 2021 was a crazy year. Raising money was “easy,” capital was plentiful, and the amount of fundraising was extremely high. In that context, we saw the emergence of 15 unicorns:
Sorare
Swile
Alan
Owkin
Ledger
Back Market
Dental Monitoring
Aircall
Shift Technology
Algolia
ManoMano
Lydia
Vestiaire Collective
iAD
Believe
I believe that the emergence of these unicorns is not only linked to the incredible year 2021 but also to the goal set by President Emmanuel Macron in 2019, which aimed for 25 unicorns by 2025. The goal has been achieved. However, some unicorn statuses can be debated. I’m still skeptical about some fundraising who were made to obtain this status only.
A new target of 100 unicorns is set for 2030. See you then.
Mistral
A unique case in the French startup ecosystem: becoming a unicorn in less than a year.
Mistral was founded by Arthur Mensch, Guillaume Lample, and Timothée Lacroix in June 2023, and since then, they’ve been making waves in the AI landscape. The company is valued at €5.8 billion, and it’s just the beginning. Stay tuned for more from our very own AI player.
Septeo
Septeo is a special case. Their story is not widely known, and they’re often a forgotten unicorn. Officially, they achieved unicorn status in November 2020.
It took Septeo 32 years and 3 months to reach unicorn status. Why did it take so long? Let’s take a brief look at Septeo’s story:
Since its creation in 1988, Septeo Solutions for Notaries (formerly Genapi) has supported notaries' offices by offering them the best possible quality of service.
In 2013, Jean-Luc Boixel, Hugues Galambrun, and Philippe Rivière created the Septeo Group through the merger of several specialist software companies: Genapi, NCIS, Secib, Ecostaff, Dictaplus, SPI, Matilan, and RG System. The group now has 550 employees and sales of around €65 million.
The Septeo Group merger happened in 2013, but the creation of Genapi dates back to 1988, making them the oldest unicorn.
The Chart
The chart doesn’t need a long explanation, so I’ll let you explore it:
Conclusion
It's fascinating to see that it's possible to become a unicorn in 8 months, but also in 32 years...
The time it takes to achieve this status seems to be getting shorter and shorter.
Is this due to the increasing amounts of capital being raised? The growing democratization of venture capital? Or has the French ecosystem become a particularly fertile breeding ground for unicorns?
Another important question I want to add here:
Emmanuel Macron set a target in 2022 of 100 unicorns by 2030. 💯
Realistic or over-ambitious?
In my opinion: realistic.
Best,
Erwan