It is no secret that the state program «Self-employment» operates in Russia. Within the framework of this Program, the state in most of the constituent entities of the Russian Federation allocates funds to support start-up entrepreneurs with the status of the unemployed. The amount of such support in 2016 is $58,800 per unemployed person. The cost of registering a business in the amount of $4,500 is also compensated. If, in addition to self-employment, you plan to create jobs, you will also be compensated for the cost of salaries of employees in the amount of $58,800 per employee.
The procedure for obtaining a subsidy at the Employment Center:
Step 1. Registration with the Center for Employment of the Population (CZN) and obtaining the status of unemployed
Assistance to self-employment is provided only to citizens registered as unemployed in the employment service at the place of residence.
Step 2: Submitting an Application for Lump-sum Financial Assistance Using the Approved Form
The legal fact, which is the basis for the start of the provision of the state service «self-employment», is the personal appeal of an unemployed citizen who filled out an application form. The application form can be downloaded here.
Step 3: Taking the Entrepreneurial Aptitude Test
An employee of the employment center offers the applicant to undergo testing aimed at identifying the ability and readiness to carry out entrepreneurial activities. In particular, it tests:
- availability of the necessary knowledge in the field of economics, finance, taxation, jurisprudence and other areas of knowledge required in the implementation of entrepreneurial activities,
- availability of skills necessary for running a peasant (farm) economy, self-employment.
Testing is carried out using the appropriate software or in a simple written form.
Further, the test results are checked, and a conclusion is made about the applicant’s readiness to conduct entrepreneurial activities. If a low level of entrepreneurial ability is identified, financial support may be denied.
Step 4. Consultation of a specialist on formulating a business idea and drawing up a business plan
An employee of the employment center provides information on the preparation of a business plan and on the basic requirements for structure and content.
The term of preparation, date and time of discussion of the business plan are also assigned.
Step 5. Create a business plan
The employment center can suggest where you can apply for other support — organizations and institutions that are part of the support infrastructure for small and medium-sized businesses. There you can get contact information: location, phone numbers for inquiries, addresses of official websites on the Internet — support infrastructure organizations.
In order to be guaranteed to receive support within the framework of the “self-employment” program, you need to contact the specialists:
How to prepare a business plan for an employment center can be found in the article: «How to write a business plan for an employment center.»
Step 6. Examination of the business plan. Its revision if necessary
After the applicant has prepared a business plan, it must be submitted for examination. As a rule, a commission acts to evaluate the business plan, if necessary, experts in the field of supporting small and medium-sized businesses can be invited.
In case of questions on the text or calculations, the business plan is given for revision.
An employee of the employment center coordinates with the recipient of support the terms for revision, the date and time of the second discussion of the business plan.
Step 7. Protecting the business plan
The business plan is being defended before the commission. How it goes, you can see in the following video:
Step 8. Signing an agreement to promote self-employment
If the defense of the business plan was successful, the next step is to conclude an agreement to promote self-employment.
Immediately after the conclusion of the contract, you can proceed to register an individual entrepreneur or LLC.
Step 9. Registration of IP. Transfer of documents
To complete the process of obtaining one-time financial assistance under the Self-Employment program, you must submit to the Employment Center:
- certificate of state registration of a legal entity, individual entrepreneur or peasant (farm) economy,
- certificate of entry in the Unified State Register of Legal Entities or the Unified State Register of Individual Entrepreneurs.
If the costs of preparing documents for registration, paying the state fee, paying notarial acts and services of a legal and technical nature, purchasing blank documents, making seals, stamps are confirmed, these costs will also be compensated by the employment center in the amount of not more than $ 4,500.
Step 10. Transfer of one-time financial assistance
Well, that’s all — it remains only to wait for the money. The amount of support varies in the regions of the Russian Federation.
Standard — $ 58,800 — this is the annual amount of unemployment benefits.
Do not forget that for the money received from the state, it is necessary to report within a year — to provide reports to the employment center of your individual entrepreneur or LLC. Employees of the EPC have the right to control the intended use of financial assistance received by unemployed citizens for organizing their own business.
A detailed algorithm for the actions of employees of the employment center is described in this document.
A business plan specifically for the employment center can be ordered here: