How to get a subsidy from the state for opening a small business

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How many wonderful business ideas are born in the heads of our compatriots every day! Both a successful venture and a useful one – but only a few implement their ideas.

The reason for this is quite banal: a simple lack of funds. Of course, attempts to raise the amount of money by borrowing from friends or applying for a loan at the bank are accepted, but only in this way it is rarely possible to raise the necessary start-up capital. In this case, subsidies from the state can come to the rescue, the amount of which is individual in each region.

Content of the article:

  • What is a subsidy from the state
  • What documents are required to receive a subsidy from the state
  • Where to submit an application to receive a subsidy from the state
  • What should be a business plan to receive a subsidy from the state
  • And what then?

What is a subsidy from the state

Do not think that a subsidy from the state is similar to a loan. No, this assistance from the budget is absolutely free. It was created so that an entrepreneur could not only open his own business, but also create new jobs. In conditions of unemployment, they are valued very highly.

By the wayif in your case really good offers for new employees will be created, this will increase the chance of receiving a subsidy from the state.

But let’s figure out how the process of obtaining generally takes place.

What documents are required to receive a subsidy from the state

Of course, you need to apply for a subsidy. Where and to whom – we will tell a little later, but for now about the documents. Therefore, only an unemployed entrepreneur can receive a subsidy.

And then, it is desirable to get an IP after the application is submitted. If you already have the status of an individual entrepreneur, no more than a year should pass from the moment you were registered as this person. Otherwise, the subsidy will be refused.

The unemployment service is recognized as unemployed. There you will be asked to provide documents from your last place of work, if there was one. Employees of the Center for Information Technology will inform you about additional certificates, but usually personal documents (passport, SNILS) and the aforementioned certificate are enough. After the procedure of recognition as unemployed, you should submit an application. Where?

Where to submit an application to receive a subsidy from the state

A subsidy is issued by the state in several bodies. But, of course, you can get it only once and in one of the places. The first case is receiving funds directly from the Employment Center.The amount is usually equal the amount of unemployment benefits for 12 months. This is about 80 thousand hryvnias. Everything will depend on the amount of assistance in your region.

The competition for receiving a subsidy in the Center for Economic Development is not the greatest, so there is a real chance to receive funds for business needs.

The second option is appeal to local self-government bodies. Here the amount is much more significant, exceeding one hundred thousand hryvnias. Everything will depend on which program you will be financed by, because every year the state offers new programs to small businesses. The competition, of course, is higher here. However, the requirements for a business plan are the same in both cases.

What should be a business plan to receive a subsidy from the state

Your business plan will determine whether you will be granted financial aid or not. This document should be as detailed as possible. Carefully writing down all costs and payback is not enough. It is mandatory to indicate the economic feasibility, the number of jobs. Your venture must be real, all figures must have their confirmation.

Also, be sure to indicate how much you are willing to spend to implement the plan. It is almost impossible to get the full amount for the implementation of the plan, the state is only ready to add funds that are lacking.

And what then?

After you have submitted your application and thought through your business plan to the smallest detail, you will be asked to present it to the commission. Its members will evaluate the economic benefit, expediency and other nuances mentioned earlier.

Only after reviewing the plan will you be notified of the decision to issue subsidies. If the answer is positive, it remains to obtain registration of the IP (if there is none), provide an account and wait for the receipt of funds. And after transferring the amount, you can implement your business.

take into account, that the subsidy received from the state will have to be reported in a year. If the entire amount is not spent by this moment, the remaining funds will have to be returned.

If the subsidy was not used for the purpose specified in the plan, the entire amount will have to be returned.

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