Small and medium-sized enterprises play a decisive role in job creation and, more generally, are a factor in social stability and economic development. However, market failures may hinder their development.
In this regard, the concept of small business help appeared. That is why these companies have a special approach in relation to the law on business support: some government assistance is subject to the Regulation.
General exception. Given the difficulties faced by SMEs in financing the additional costs of cooperation between partners in different Member States or third countries, the Commission found it necessary to stimulate support for such projects. Eligible costs are:
- costs associated with organizational cooperation, including staff and office expenses, to the extent that they relate to the cooperation project;
- the costs of consulting and collaboration support services provided by external consultants and service providers. These services may not constitute a permanent or periodic activity of the company and should not be associated with the usual operating expenses of the company;
- travel expenses, equipment and investment expenses directly related to the project, as well as depreciation of tools and equipment used directly for the project in question. Aid intensity is limited to 50% of eligible costs.
In any case, these should be private SMEs. Business support in the form of investments in equity or quasi-equity capital must comply with the conditions set forth in the paragraphs of the article. According to the clause, the total amount of assistance cannot exceed 15 million euros. The points set the minimum threshold values for this participation.
The paragraph details the conditions that must be met by all risk financing measures. In particular, they should, except in exceptional cases, be carried out by financial intermediaries selected through an open, transparent and non-discriminatory procedure. These intermediaries need to be managed from a commercial point of view.
In addition, financial decisions should be motivated by the search for profit. For this purpose, certain conditions are outlined to determine whether this requirement is met. For example, a funding decision should be based on a viable business plan. A disconnect strategy must also be established. Specific conditions for guarantees or loans are set out.
The compatibility of assistance schemes for SMEs in the form of venture capital that do not meet the above criteria is assessed by the Commission based on the conditions set out in the Government Assistance Manual to encourage investment in risk financing. In this case, the measure will be the subject of a detailed assessment in order to balance its positive and negative consequences.
2. Presentation of business development services.
2.1. Opening a business. Regardless of the type of business created in the city of Mirabell, a team of professionals will answer questions and support entrepreneurs. in your steps.
2.2 Business development and business consolidation. Regardless of whether we are talking about growth, export, innovation, diversification or consolidation, the team can support entrepreneurs in their business initiatives and projects.
2.3 Search for financing. Regardless of whether the project is the beginning, expansion, consolidation or transfer of business both at the level of private entrepreneurship and in the field of social economy, the search for financing is a decisive step, which is why the city offers technical support, as well as various means.
2.4 Entrepreneurial succession. The transfer of business consists of two parallel and different processes: transfer of ownership and transfer of control. Since these processes can be quite complex, it is recommended that you turn to external resources for help in these processes. The economic team is here to support and advise various stakeholders on the transfer of business.
2.5 Mentoring for entrepreneurs offers entrepreneurs the opportunity to find a mentor so that they can benefit from a person’s business experience and develop their entrepreneurial skills. Mentoring is intended for entrepreneurs at all stages of growth from start to succession. Among other things, he seeks to break isolation, clarify specific goals and improve his business skills.