French Public procurement code
In forceWhere the term of the contract is less than or equal to twelve months, the amount of the advance payment is set at between 5% and 30% of the initial amount of the contract inclusive of all taxes.
Where the term of the contract is greater than twelve months, the amount of the advance payment is set at between 5% and 30% of a sum equal to twelve times the initial amount of the contract, inclusive of all taxes, divided by its term expressed in months.
When the holder of the public contract or its subcontractor eligible for direct payment is a small or medium-sized enterprise mentioned in article R. 2151-13, the minimum rate of the advance payment is increased to :
1° 30% for public contracts awarded by the State ;
2° 10% for public contracts awarded by public administrative establishments of the State, other than public health establishments, whose operating expenditure recorded in the financial account for the penultimate financial year for which the accounts have been closed exceeds 60 million euros;
3° 10% for public contracts awarded by local authorities, their public establishments and their groupings, whose actual operating expenditure recorded in the management account of the main budget for the penultimate closed financial year exceeds €60 million.
Local authorities, their public bodies and groupings may make payment of the advance conditional on the provision of a first demand guarantee. This guarantee may cover all or part of the advance. The two parties may agree to substitute a personal and joint guarantee for this guarantee. The provision of this guarantee may not, however, be required of public entities holding a contract.
