Micro and small businesses in Kyustendil have access to more EU programs

Three key procedures funded by the EU will be open to businesses soon. They are aimed at smart and sustainable growth, industrial and digital transformation. This was announced by Lyubomira Velinova, manager of the Kyustendil Information and Communication Center, during the seminar “Opportunities for Entrepreneurship in Kyustendil.” In addition, she presented a number of funding opportunities under EU programs.

The event was organized by Brand Media Bulgaria as part of the activities of the European project “Career Transition of Opportunities” (TOP JOBS).

Our center has been helping local businesses understand and successfully apply for European programs, especially those related to cohesion policy, for 13 years,” Velinova noted at the beginning of her presentation.

The three pillars of growth

The Competitiveness and Innovation for Enterprises (CIP) program is the main financial pillar for businesses focused on smart and sustainable growth, industrial and digital transformation. It is under this program that three procedures are about to be launched, the application conditions for which have already been published for public consultation:

• “Digitization of enterprises”: This procedure is aimed at introducing information and communication technologies (ICT) to increase the digitization of micro and small enterprises registered before December 31, 2022. The grant is between BGN 5,000 and BGN 50,000 with an intensity of 70%. Eligible activities include the creation of online stores, ERP systems, CRM, business analysis systems, and others;
• “Energy efficiency and use of energy from renewable sources in enterprises”: The procedure aims to improve energy efficiency and promote RES in micro, small, and medium-sized enterprises registered before December 2021. Funding ranges from BGN 30,000 to BGN 100,000 with an aid intensity of 65%. Eligible activities include the purchase of heat pumps, solar systems, photovoltaic power plants, energy-saving lighting, etc. The scope of eligible economic activities is extremely broad, including mining and manufacturing, energy production, trade, hotels, and restaurants;
• “Introduction of Industry 4.0 technologies in enterprises”: This procedure is intended for small and medium-sized enterprises registered no later than December 2021 that wish to increase their digitalization through investments in Industry 4.0 technologies. The amount of the grant ranges from BGN 150,000 to BGN 850,000, with an intensity of 50% under the “de minimis aid” regime and 20% to 40% under the “regional investment aid” regime. For the first time, the combined use of grant funding and financial instruments is envisaged. A certain level of maturity of digital technologies in the enterprise is also required.

Other programs

Velinova also drew attention to the “Research and Innovation” program. She spoke about the upcoming “Green and Digital Partnerships for Smart Transformation” procedure, which will enable cooperation between enterprises, scientific organizations, and universities to develop innovative green and digital solutions.

The “Human Resources Development” program also offers significant training opportunities through a voucher scheme, as Velinova explained: “It is very useful for employed people, including the self-employed, who want to improve their professional qualifications, language or digital skills.”

It is under this program that a procedure for “Promoting the social economy at local and regional level” is about to be launched. It aims to develop social enterprises by creating sustainable jobs for disadvantaged groups, providing support for training, improving the skills of people employed in social enterprises, and encouraging partnership and cooperation between social economy actors.

Under the Regional Development Program, Velinova spoke about upcoming procedures aimed at supporting the green transition. For example, a procedure entitled “Qualification and retraining to support the green transition in two components” is about to be launched. It will provide opportunities for qualification and retraining based on mapping of persons directly and indirectly affected in sectors in transition to climate neutrality (including related sectors).

The other two upcoming procedures, “Support for Photovoltaic Parks” and “Clean Energy,” are aimed at promoting energy efficiency in enterprises.

The cross-border program “Interreg Bulgaria and North Macedonia” provides opportunities for micro, small, and medium-sized enterprises registered in the eligible cross-border region. The grant is between €100,000 and €300,000, and the application deadline is September 15. Eligible sectors are waste production and management, accommodation, transport and storage, human health, social activities, arts, sports, and recreation.

Financial instruments

A significant part of the CIP budget is earmarked for financial instruments, mainly equity participation and debt financing (loans). The launch of an Entrepreneurship Fund with €100 million for high-tech and innovative enterprises with high growth potential is expected.

For the first time under the Education Program, financial instruments for students and doctoral students will be implemented: microcredit for entrepreneurship and a fund for start-ups. Loans of up to BGN 100,000 are planned under favorable terms.

The new HRD program is also expected to structure a financial instrument for low-interest loans of up to BGN 200,000, targeting vulnerable groups, young entrepreneurs, and social enterprises.

Erasmus for Young Entrepreneurs Program

Although less popular, the Erasmus for Young Entrepreneurs program offers young entrepreneurs a unique opportunity to gain experience in a European Union member state for a period of 1 to 6 months, with the stay partially funded by the European Commission.

We are always available for consultation and support in preparing your projects," concluded Velinova, calling on local businesses to actively take advantage of the opportunities provided.

Co-Funded by the European Union. Views and opinions expressed are however those of the author(s) only and do not necessarily reflect those of the European Union or the Managing Authority. Neither the European Union nor the Managing Authority can be held responsible for them.

Translated with DeepL.