What is a grant and how can an entrepreneur get a grant for business development
A grant is a sum of money for the performance of work or the production of a product, which is given free of charge. In other words, the grant, unlike the loan, does not have to be given back. For a start-up entrepreneur who needs funding, receiving a grant is an ideal way to attract money to your project.
What is a grant
Each region sets its own list of industries covered by the grant system. For example, money can be allocated for business in the field of social entrepreneurship, medicine, science.
Competitions for the issuance of grants are arranged by the state, public private funds or foreign funds. The latter are more willing to work with individuals who have already turned to them for financial support and have developed a product with their help. State funds do not like to allocate money for the payment of wages to employees, foreign in this regard loyal.
As for the state grants, each subject chooses for himself the priority areas for which he grants more readily. For example, if the priority direction is agriculture, if there are two grants: for agricultural and opening a restaurant, then priority will be given to the first.
How to get a grant from the state, depending on the direction of activity
Entrepreneurs opening their businesses in the following areas can count on financial assistance:
building;
agricultural (crop or livestock);
production in the field of processing;
soc. projects;
handicraft
When registering an IP, you should indicate the correct code for OKVED corresponding to the desired activity, otherwise the project will not be able to participate in the competition.
An overview of the main ways to get a business grant
Let us examine how to get a grant for business development or its opening. Domestic subsidies may be provided by business unions. The amounts of regional grants can be up to half a million rubles, and any beginning entrepreneur can count on receiving them.
Skolkovo provides grants to promote science and technology development.
“Russian world” (culture and art),
Foreign funds: UNESCO, UN provide financial assistance to the company of the entrepreneur, and not to an individual. Reporting is required for each stage of the implementation of grant funds.
If your activity corresponds to the direction of issuing grants of these funds, submit an application in a timely manner. The application form and project requirements are described on the website of the relevant fund.
How to get a grant to start a business
Let us analyze how to get a grant for starting a business from the state.
Grant to open a business
Claim it can all segments of the population, but priority is given to the following:
final year students of high schools;
single mothers;
pensioners;
Persons who have been reduced at work, etc.
The application must specify a business plan with the exact amount of the cost of the project. Most likely, you will be given anyway less than specified in the application. If the project won, the businessman will not receive the money immediately, but after a few months.
When collecting documents can not violate the “shelf life” of each paper. For example, a tax certificate is valid for 10 days, and a certificate of EGRIP is a month. Terms of receiving papers, respectively, are also different. Refusal to accept documents can be obtained only due to inconsistencies in the shelf life of documents.
If you report on the use of funds to investors in time, follow all the advice and complete tasks, you can get new grants for business development and expansion of production. The funds received can only be spent on goals from the business plan. Otherwise, it will be considered “inappropriate use of budget funds” – you can get under the article.
As for the business plan, then its preparation should be approached very carefully, analyze in detail the market, competitors and prospects for profit. Documents downloaded from the Internet will not work here.
How to get a grant for business development
An entrepreneur can win a grant if his case exists for more than 12 months.
How to get a grant
List of required documents for participation in the competition:
Application for a grant.
Business plan.
Extract from EGRIP.
Certified copies of documents for obtaining permits for activities.
Accounting statements on the financial condition of the company.
A copy of the form of the number of employees (if any).
Certified copy of the documents that the entrepreneur has spent his own money to open a case.
Help from the tax that the company is not listed debts.
Accompanying letter explaining why your project should win.
A copy of the certificate of education (university diploma or a copy of the certificate of completion of business courses).
The decision on the issue of money or refusal to subsidize the competition committee. Its activity regulates the decision of the local government.
