Ukrainians want to give money to start a business

The state employment service began to create centers of development of business, including for our labour migrants. They already operate in Kiev Svyatoshinsky district of the capital in Kharkiv. The approach centers in Kropyvnyts’ke and Zaporozhye. Their task is to prepare the unemployed to a future business career, writes UBR.

For example, in the river run co-working center, where actual and potential entrepreneurs can meet, discuss joint projects, to find partners and staff.

For the state enterprise development is advantageous, because it can withdraw from the care of citizens with employment, for which there are no suitable vacancies, experts say. Plus the taxes that will pay future businessman.

“Right now, only 7% of Ukrainians want to start their own business. For comparison: in the United States these more than 80%. Our objective is to create opportunities. Global trends are such that in the next decade the majority of workers are employed in private business”, — said the Deputy Chairman of the state service of employment Sergey Kravchenko.

Become a business offer, first of all, those for whom there are no available vacancies or one test showed a tendency towards entrepreneurship. They are recommended to complete a training course “Basics of entrepreneurship”. They promise to give knowledge on the basics of accounting and taxation, Economics, marketing and business planning. Here presume to determine prospective activity and write a business plan.

“Many want to trade, but it’s yesterday. We advise you to open the business of providing services and to engage in the production or innovative start-UPS. Also popular projects for the processing of plastic bottles and aluminum cans. Appropriate machines can be supplied even in the garage,” — said Kravchenko.

According to him, is almost always necessary to help to write a business plan. After all, most people don’t have the slightest idea how to do it. For example, planning to open a coffee shop, include in the plan the costs for the purchase and preparation of food, but forget that there are spending on the cleaning fee or shipping.

Then the business plan is protected before the Commission for a one-time payment of unemployment assistance. It now includes representatives of local business and government. If the plan is approved, the unemployed are registered as entrepreneurs and open a new Bank account where funds have been transferred to the opening of the business.

According to the state service of employment, average amount of aid from the state for the opening of the business is about 20 thousand UAH. The maximum amount of 64 thousand UAH, and the minimum is 5.4 thousand UAH. (for those who do not pay a single social contribution).

But, without waiting changes in the legislation, officials are trying to increase the size of assistance to budding entrepreneurs at the expense of local budgets and international organizations.

If the business idea is interesting, the local government, in addition to benefits from the NHS, can provide additional financial support or, say, help low-cost room. “Now I want to explain to the heads of village councils and cities of the benefits of economic clustering in the region. Simply put, when we “decompose” the country clusters, it will be clear what businesses it is better to develop in a particular area,” say the employment service.

Ukraine, as elsewhere in the world, according to statistics, closes about 80% of all new businesses

If the idea is promising, then it is possible to collect money and by the method of crowdfunding. A special Internet platform created by the UN. Her future entrepreneurs at their business plans can get money from people and companies from different countries.

According to the NHS, in 2016, his job was opened about 3.8 million people. Two months 2017 such accumulated 102. How many of them remained afloat, the employment service did not say.

“In Ukraine, as elsewhere in the world, according to statistics, closes about 80% of all new businesses. We, of course, have their own special business environment, but to blame the lack of people’s abilities to develop their business. As practice shows, inclined towards entrepreneurship of citizens no more than 5% of the total working population”, — said the head of the Association of owners of small and medium business in the city of Kiev Ruslan Sable.

According to him, today, the most often opened businesses in the area of services (from consulting to the provision of services), agriculture and it. Most entrepreneurs are registered as sole traders. And only if you need the attraction of investments to open an LLC or commercial building. “Well-go services. We learned the woman at the hairdresser and got her tools, so she could rent a chair in existing barbershop,” confirms Alex.

But in the sphere of services sometimes requires considerable investment. For example, one of the aspiring entrepreneurs have spent 40 thousand UAH. to buy a used lift, to equip a HUNDRED in his garage.

“Another illustrative case — the girl with a law degree after an unsuccessful search for work start to bake cakes. We got her a night of a rental kitchen in a cafe, which takes her part of the production,” — said in the civil service employment.

Until the end of the year, officials want to create a single portal where to collect information about all business projects and then to analyze what will make it better. For the training of future entrepreneurs will hire mentors to help to open a new business.

In addition, civil service employment promises soft loans. Controls over the expenditure of money while only is developed. According to the NHS, even at the stage of approval of the business plan trying to weed out those who only want to receive funds, but not to do business. For this there are specialists in counseling and psychologists. But how many candidates manage to deceive the instinct of officials and to spend the money at their discretion, and then to go and sign on and claim benefits — history is silent.

Problems

As the member of the coordination Council of the Association of SMEs of Ukraine Eduard Kurgan assistance in business organization and training is important. But the main thing is access to credit.

“Lectures on how to conduct business is a very good initiative. But the question of obtaining money for development is very serious. The government should not just to distribute funds, it can only facilitate access to them by compensating interest. It is necessary to minimize corruption in this matter, making the process of assignment is clear and transparent. Here is what the strategy is necessary”, — said the expert.

While the government is ready to help with payment of interest only to farmers. And that, as representatives of small business, in practice, many will not be able to participate in the state program on 300 million UAH, because they do not have adequate collateral, adequate financial reporting, etc. Therefore, the reduction in interest rates will not have a significant impact on access to credit.

In addition, as head of the Secretariat of the Council of entrepreneurs under the Cabinet of Ministers Andrei Zablovsky, in April, the government plans to approve the development Strategy of small and medium entrepreneurship in Ukraine for the period until 2020.

“Now the Ministry finishes the processing of proposals of the public, including business, and after consultation with the Ministry of justice and Ministry of Finance it will be submitted to the Cabinet”, — said Andrey Zablovsky.

However, the version released on the website of the Ministry in February, was heavily criticized by business. In particular, as noted by senior research fellow, National Institute for strategic studies Dmitry Lyapin, this project indirectly provides for the abolition of the simplified tax system. In particular, in the attached to the strategy Analytics indicated that many businesses are established for survival, and not a real business. The other part is used for tax avoidance by big business. In addition, according to the expert, the document never mentions the word deregulation.

“This is another version of the strategy, which was criticized and recommended for processing. What will be the updated version — we’ll see. But on 14 April, the Cabinet ends with the immune system and it can dissolve, and therefore not a fact that even the strategy adopted will be implemented by the current government,” — said a member of the Ukrainian Association of businessmen of small and medium business “fortress” Alexander Pliva.

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