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How to get a small business subsidy

One of the main obstacles to starting your own business is the lack of funds. Often, it is this obstacle that stops potential entrepreneurs from realizing their plans. Those who have already opened their business, may also face the problem of lack of finance to maintain and develop business. In case of such problems, you should learn in detail about how to get subsidies to small businesses.

The state is interested in the development of the economy, so today in Russia there is a special program to support start-up entrepreneurs. Under this program, the state issues subsidies.

What is a subsidy and for what purpose it is issued
A subsidy is a targeted payment at the expense of the federal or local budget.

The grant is granted free of charge, so it should not be confused with a loan or a loan. That is, after receiving a grant to the state, you should not return anything. Thus, the first property of the subsidy is its gratuitousness and irrevocability.

The second property of the subsidy is strictly target character.

The objectives of spending the received subsidy can be:

purchase of equipment and consumables;
purchase of raw materials;
purchase of intangible assets, such as patents.
Specific types of financial support for small businesses are approved by the executive body of the subject of the Russian Federation (the government of the subject). Usually detailed information can be found on the website of the executive authority of the constituent entity of the Russian Federation dealing with issues of industry, entrepreneurship and trade.

The grant is issued for strictly defined purposes.

The targeted nature of the subsidy is expressed in the fact that the citizen who received it is responsible for the targeted use of the subsidy. If the fact of misuse of funds is revealed, the entire amount will be recovered from the offender. In addition, one year after receiving the subsidy, you will have to report on where the funds were spent. If you have not spent all the funds, the balance will need to be returned.

Note! Entrepreneurs who plan to open a business in the production and sale of alcohol and tobacco products, real estate and equipment rental can not receive a subsidy.
Sizes and types of subsidies
The size and types of subsidies. The size and types of subsidies are determined by each subject of the Russian Federation. Let’s give an example. In Moscow, there are the following types of subsidies:

300,000 rubles for starting a business (the following conditions must be met: the entrepreneur has never been employed anywhere, has a disability or is the only parent of the child being raised);
60,000 rubles for starting a business (there is the possibility of increasing the subsidy by the same amount for each additional workplace created);
25 000 rubles for business support.
Steps to get a start up subsidy
We get registered as unemployed
Obtaining a subsidy is a rather long process and includes several stages.

You must register as an unemployed person. To do this, firstly, do not have an official place of work. Secondly, not to be the founder of any legal entity and not to be registered as an individual entrepreneur. If these conditions are met, then you should contact the employment center in your place of residence.

After expressing a desire to register as an unemployed, you will be asked to fill out a questionnaire. It is also necessary to bring the originals of the following documents:
passport;
education document;
TIN certificate;
insurance certificate;
certificate of average monthly wages.
If you have never worked, then you do not need to provide help.

Note! When filling out the documents issued to you, do not forget to inform the employee of the employment center about your plans for self-employment with your own business. Do not forget to clarify where the department is for self-employment.
Once you have all the documents, you tell the date of the second visit. Also, most likely, you will be told where to get a passbook for transferring first unemployment benefits, and then subsidies.

The next step is to write a business plan. Here you need to be very careful and not to hope for a freebie. The state, although it provides for business support, but (let’s be frank) reluctantly gives budget money.

The business plan must be literate, detailed and real (executable).
Be sure to indicate:
project cost;
economic feasibility of the project;
project payback period;
the purpose of receiving support from the state;
planned own costs;
required amount of subsidy;
creation of additional jobs.How to get a small business subsidy

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