The state system of measures to support small businesses allows any interested citizen to receive money for business. The state offers subsidies, grants, lending support and benefits to aspiring entrepreneurs. To receive a targeted payment, you need to competently draw up a business plan with detailed calculations, collect the necessary documents and fill out an application form.

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Is it possible to get money for business development from the state?

There is a state system of measures to support small businesses. Any interested citizen in 2019 has the right to take advantage of the subsidies provided by the state for the development of their own business. To receive a target payment in many cases, you only need to correctly write a business plan and carefully carry out all the calculations.

The video talks about how realistic it is to receive a grant in Russia today. Filmed by the MYSLI BUSINESS channel (THOUGHT BUSINESS).

Types of government assistance

The state helps small businesses in many ways and provides support in various directions. Any support from the state is an effective incentive for entrepreneurs to start their own business in 2019.

There are the following types of government support:

• subsidies for unemployed citizens for subsequent registration of individual entrepreneurs;
• grants for entrepreneurial development for experienced business owners, which allows them to expand production;
• lending support; allowing you to pay only the principal amount yourself;
• benefits for participation in fairs and exhibitions, covering up to half of the funds spent on participation in them;
• subsidies to farmers for the purchase of equipment, raw materials, livestock or infrastructure development.

Support can be obtained from the following authorities:

• at the employment center;
• from the local administration;
• in a government department.

Small Business Grants

The grant is issued to those entrepreneurs who already have a personal business. This distinguishes a grant from a subsidy. A company wishing to receive a grant must be registered no more than two years ago. Such companies or individual entrepreneurs are recognized by the state as start-ups and can participate in the small business support program.

The amounts of payments in each region are different and range from 300 to 500 thousand rubles. The transfer of subsidies to the company's current account from the state budget does not occur quickly. The company owner needs to take this into account when financially planning the activities of his enterprise.

The grant does not fully cover all the entrepreneur’s expenses; the state only performs the function of co-financing. Therefore, this type of assistance requires having your own investments in the business.

After receiving the grant, it will be necessary to report to the state about the direction and amount of the funds issued. When checking, the authorized body may request receipts, contracts and checks.

What documents need to be collected?

Conditions for grants may differ in different regions. Therefore, you need to familiarize yourself with all the rules for providing documentation in advance.

In order to take money for the development of small business from the state, you need to provide the following documents to the competent authority:

• business plan of the enterprise;
• constituent documents of the company;
• completed application form.

Business plan (title page) Constituent documents Application form

Subsidies for start-up entrepreneurs

To receive a subsidy, you need to contact the employment center. But the program does not work in all regions of Russia. In the constituent entities of the Russian Federation where such a program operates, in order to receive subsidies it is necessary to register with the employment center as unemployed. The labor exchange will offer the applicant several vacancies. The right to receive a subsidy will arise if employers refuse all vacancies.

After the right to a subsidy arises, you need to develop a business plan and defend it before the employment center commission. If the defense of the business plan is successful, the labor exchange will sign the contract and transfer the funds to the account specified in the document. The subsidy amount is usually about 60 thousand rubles.

Beginning entrepreneurs planning to operate in the field of tobacco or alcohol products cannot apply for a subsidy from the employment center.

Future activities should be related to solving any problems of the population. Priority is always given to applicants planning to provide socially oriented services. Creating new jobs for people is a good benefit. It is important to emphasize that business services are intended for people with low income.

Main purposes of receiving funds

Subsidies received by citizens recognized as officially unemployed can be spent at the discretion of such persons. In order not to arouse suspicion on the part of the employment center, you must register as an individual entrepreneur as soon as possible after the money is issued.

The subsidy can be used for the following purposes:

• payment of lease payments;
• equipment of workplaces;
• purchase of fixed assets of the enterprise;
• purchase of materials, equipment, raw materials for organizing production.

Package of documents for receiving subsidies

Unemployed citizens must express their desire to become an entrepreneur at the employment center. You can prepare documents to receive benefits yourself.

The labor exchange must provide:

• business plan with financial calculations;
• an application filled out according to the template issued by the labor exchange.

How to draw up a business plan to receive subsidies?

There is no single template for drawing up a business plan. depends on the chosen field of activity. Therefore, you can download a sample on the Internet and add or change the proposed sections.

1. Title page. Name of the project and organization.
2. Summary.
3. Objective of the project.
4. Information about the project (participants, methods of financing).
5. Market analysis (its current state, competition, pricing).
6. Production plan.
7. Marketing plan.
8. Financial plan.
9. Risk analysis.
10. Applications.

A business plan should be simple and understandable. The goal is to prove that the project will be profitable and socially oriented.

The Academy of Professionals channel talks about five rules for drawing up a business plan to receive a subsidy.

Help for the self-employed

Self-employment is legislatively enshrined in the Federal Program for Support of Small and Medium Businesses for 2005-2020. The main aspects of the work are regulated by Federal Law No. 88-FZ of June 14, 1995. These acts contain the possibility of the state providing various types of assistance, including non-material, to citizens for organizing their own enterprises.

Points of non-material assistance:

• providing information about the most important areas of business activity;
• providing consultations in the field of starting a business;
• testing for the presence and analysis of abilities to run your own business;
• teaching business theory;
• organizing consultations on drawing up business plans.

How to get a?

To receive non-material assistance as part of the program to support self-employment of the population, you need to visit one of the local labor exchanges. For employment centers, working with such programs is one of the most important areas. Anyone can apply for such assistance.

What documents are needed?

To receive assistance, self-employed people just need to fill out an application and submit it to the employment center. No other documents will be required.

Loan interest reimbursement financing

The program involves the state taking on the burden of interest on the loan in the amount of half to three quarters. The specificity is that the recipient of assistance must pay the amount of the principal debt independently. It is not recommended to seek such help for those entrepreneurs who do not have the funds to repay the loan, even without taking into account interest.

Funding for expenses for participation in fairs

Subsidies for participation in regional, national or international exhibitions and fairs will help businessmen make their products more popular. This covers the costs of registration, accommodation, and organizing an exhibition stand. The main condition for providing financing is the viability and viability of the business idea.

Despite all the difficulties and bureaucratic obstacles, more and more Russians are striving to become independent and open their own enterprise. We have long been taught to perceive the state not as an assistant, but as an insurmountable barrier to profit. What are the chances that money for business from the state will still end up in your budget in 2018?

What kind of help can you expect?

The time when small businesses were left to fend for themselves is long gone. Today, the development of this area is a priority in the internal policy of the state.
According to new changes in legislation, individual entrepreneurs can count on the following benefits:

• cash subsidies;
• coverage of training costs (often, however, only partial);
• internships;
• leasing on preferential terms;
• free or preferential outsourcing services;
• grants;
• discounts on participation in exhibitions and fairs;
• partial compensation of interest on loans;
• provision of guarantees and sureties by government funds, which simplifies access to borrowed resources.

It is also worth noting that it is not only government funds that support small businesses. Those who provide assistance to newcomers include investment funds, public organizations, business schools, and government agencies. They are the connecting link between the state and entrepreneurs.

Subsidies for start-up entrepreneurs

The resolution on business support applies to everyone who has a USRIP registration sheet. These persons may apply for a cash subsidy.

The main condition is that the registered enterprise should not be more than two years old. It is such a business that is considered a start-up and can enjoy the privileges of the entrepreneurship support program.

The amount of assistance is determined depending on the region in which your company is registered. The maximum assistance that can be received in the capital is 500,000 rubles. In the regions, no more than 300 thousand are allocated. However, it is worth considering that due to the crisis in the country, money to support small businesses is transferred from the state budget quite slowly, so not all funds accept applications for subsidies.

You also need to understand that the individual entrepreneur receives money allocated for business development from the state on the terms of co-investment. It is impossible to organize your own enterprise using government money alone; you will also need to contribute personal savings.

In addition, the subsidy can only be used for strictly regulated purposes:

• payment for rent of premises;
• equipping employee work areas;
• purchase of materials and raw materials for production (you can only use 1/5 of the assistance received).

You will need to report how much and where you spent money from the cash fund. For verification, the regulatory authority will require receipts, certificates, and contracts. In addition, you must first familiarize yourself with the financing conditions in your region so as not to violate the requirements of local legislation.

Support for the unemployed

State support for business can be implemented in another way - through the employment center. To receive assistance, you must first register as an unemployed person at the local employment center. Then, reasonably refuse all proposed vacancies, draw up a business plan for future activities and submit it for consideration along with other necessary documents.

If everything is done correctly, you will be allocated funds to bring the project to life. The amount of assistance, of course, is not too large - 58,800 rubles. But if you have a viable idea and a great desire to implement it, this should be enough to get started.

An important condition for receiving this type of assistance is constant (quarterly) reporting on the expenditure of funds to the employment center. If it turns out that money for a business from the state was not used for the purposes provided for in the business plan, the entrepreneur will be required to return the subsidy. He will be blacklisted and will no longer receive government assistance in the future.

Other help options

There are a number of other government support options.

Free education

The most common reason for the failure of entrepreneurial activity is the lack of necessary knowledge about running a business. They, in turn, are difficult to acquire due to the high cost of relevant educational services. As a grant, the state provides budding entrepreneurs with the opportunity to attend all kinds of courses, seminars and lectures for free.

Rental discounts

Government support can also be expressed in the form of discounts on rent for premises for office or production. True, such assistance is only possible if the rented building or premises is on the balance sheet of the state fund. If you want to get it, be prepared to participate in a competition for the title of the most worthy tenant. If you win, you will receive an additional subsidy for connecting all necessary communications.

You will need

• -passport;
• -employment history;
• - insurance certificate of pension insurance;
• -education document;
• -certificate 2-NDFL from the last place of work;
• -a bank account opened in your name.

Instructions

Register with Population Services. The state can only provide subsidies to officially citizens. To do this, you must reach the age of eighteen and have a work book with a record and seal about it, and the reason for dismissal and the time that has passed since its moment are absolutely not important. The latter will only affect the amount of the monthly benefit that you will receive after registering with the employment center (CNC). If you have not worked anywhere before and do not have a work record, then you also have the right to participate in the state program to receive a subsidy for starting a business.
To register, you will need to provide a package of documents to the Central Scientific Research Center.

Notify the employment service that you want to take part in the state program to receive a subsidy. No one has the right to refuse you, except if you have already received financial support from the state to open your business.

Decide on the type of activity you want to do. Please note that each region has its own restrictions and the government does not fund all activities. It is especially easy to get money for a business related to livestock farming, poultry farming, crop farming and the provision of various household services.

Make a business plan. It consists of 6 sections:

• information data;


• essence of the project;


• production and sales plan;


• justification of the project cost;


• calculation of the cost of products/services, sales prices;


• justification of the viability of the project.

Business plan forms will be given to you at the Central Scientific Research Center.

Submit your business plan to the employment service, having first made a copy of it. This is necessary so that you can refresh your memory before defending the project after its approval. Project approval time is up to 2 weeks.

Protect the project. The defense takes place at the employment center before the commission in the form of a conversation, during which you will simply need to answer a number of questions regarding your future entrepreneurial activity. After your defense, you will need to wait for the commission’s decision, which is made within a few days.

If the decision is positive, come to the employment center and sign an agreement on the provision of a subsidy. Then go to the tax office and register your activities, preferably as an individual entrepreneur (individual entrepreneur). It will be faster, cheaper, and easier. Your documents will be ready within 5 days.

Sergei Ivchenkov, financial consultant at Neskuchnye Finance, explains why it will be difficult for a small business to become medium or large without borrowing and gives advice on how to properly use borrowed money.

There are two types...

Entrepreneurs often resort to loans only to get rid of financial problems in their business. When they take it, they have a mental itch - how to return it as quickly as possible and stop being in debt.

Others, on the contrary, take out loans and do not think about the consequences. And after some time they drown in more and more new loans. Warren Buffett said in 1991 that Donald Trump fell into such a trap - he did not think about how his loans would pay off.

Borrowed money can be used to develop a business, but only under certain conditions. Let's consider in what cases borrowed money will help a business grow and how to translate the effect of it into understandable numbers.

You can develop with your own money. But for a long time

“Banks are profiting from us”, “If you take someone else’s money, you pay your own”, “I am developing purely with my own money” - with this way of thinking, small businesses most likely will not evolve into medium-sized businesses, even if they are very profitable. And if they do evolve, it will take many years.

Let's imagine that you opened a business by investing 2 million rubles in it in the first year. Everything is so great for you that every year you earn 50% on top. Everything you earn goes back into business.

Let's calculate how much you will earn in 10 years:

1 year. 2 million + 50% = 3 million

2nd year 3 million + 50% = 4.5 million

10 year - 115 million

10 years have passed. The amount of money you have circulating in your business has grown from 2 million to 115 million. This is despite the fact that you did not pay yourself dividends and invested all the profits back. And 115 million in capital is not even an average company. It turns out that you work hard for 10 years, eat buckwheat all this time even without cutlets, and the business is still small.

Beeline and Magnit are developing differently

Medium and large companies are not afraid to use loans to grow their business. Let's take two medium-sized companies as an example - Beeline and Magnit. In 2017, Beeline had twice as much money from other people in business than its own. Magnit has approximately the same amount of its own and borrowed money.

With the right approach, loans are something like nitro acceleration in cars. But just like in a car, you shouldn’t just turn it on.

When can you take out a loan for business development?

Before taking out a development loan, check whether you meet two basic conditions.

1. Return on assets is higher than percent

Assets are everything that a company owns: money in accounts, machines, machinery, accounts receivable, inventory, real estate. Using them, the company earns profit. To understand how much profit a company's assets generate, the return on assets (ROA) ratio is used.

Return on assets (ROA) = earnings before interest and taxes / total assets.

Let's introduce a company producing custom furniture. Its owner went to the bank to take out a loan - he already wanted to dramatically increase the business. I took the money at 15% per annum. I put them to work and prepared for takeoff. After a while, he realized that profits were not increasing.

It turned out that the company's return on assets was below 15%. In other words, the company earned less from the borrowed money than it gave to the bank as a fee for using the loan.

To prevent other people's money from eating up your own, the return on assets must be higher than the loan percentage.

It is better to take with a reserve - for example, if a bank gives a loan at 15%, and the return on your assets is 18%, then you should think three times before taking a loan. After all, if business performance suddenly drops, it will only make the situation worse. The return on assets should be two times higher than the percentage of borrowed money.

2. There is a clear plan for business growth

The company took money from the bank for development. I invested in it, thinking that the more clients, the greater the profit. The marketers did not disappoint, the money was not used wisely, and there were many more clients.

But it turned out that the previous production capacity was not enough for such a number of orders. We need to hire more workers and buy additional equipment. So it happened - revenue grew, but profit did not.

The company did not have enough “gas pedal” - before expanding, it needed to be able to service the new scale of business.

Borrowed money is worth taking out only when you have an idea of ​​what effect the investment will have and whether the business even has room for growth. To do this, it is advisable to create a financial model.

How is the benefit of a loan measured?

It is important for owners to understand how much personal money is circulating in their business. This question is answered by the “equity” indicator. It is considered simple: everything that the company owns - inventory in the warehouse, accounts receivable, money in accounts, equipment, real estate - minus all liabilities.

Imagine that a business is a money-making box. You put your own capital into it. And a year later you take out a different amount from this box.

Return on equity (ROE) shows how much the new amount is greater than the old one. This is one of the key business performance indicators.

ROE = earnings before interest and taxes / equity.

Let's take an online store as an example. The business has 2 million rubles of its own money: inventory in the warehouse, cash register equipment, money in the current account. Annual profit for the year - 1 million, ROE - 50%.

The effect of a loan is measured by how much it will increase the return on equity. To determine this, it is necessary to calculate financial leverage.

Financial leverage, % = (1 - SNP) * (ROA - Rzk) * ZK/SK

SNP is the income tax rate (at the simplified tax system of 6% it is zero).

ROA - return on assets (profit before taxes and interest on loans, divided by the cost of assets).

Rзк - loan percentage.

ZK - loan amount.

SK - equity capital.

Let's calculate the financial leverage for two companies: an online smartphone store and a furniture factory.

The online store's equity is growing 36.8% per year faster. And the furniture company uses its assets with low efficiency, so the loan aggravated the situation. ROE decreased by 4 times, other people's money began to eat up their own.

Debt financing, when used correctly, accelerates business growth and increases its efficiency. This does not mean that you need to run for loans - first you need to understand what this will lead to, whether it will boost your business or just slow it down.

Method 1. Get a loan from a bank

Who is most suitable for? Stable companies that have been on the market for several years. Banks require money back guarantees: a large number of enterprises cease operations due to insolvency, so it is difficult for start-up companies to get a loan.

Denis Smirnov, Head of online stock forecast aggregator Raddar:

“Banks are really not ready to finance absolutely every proposed project with an uncertain future. And you can understand their logic - no one wants to invest in risky enterprises.”

In 2017, 9,173,042 individual entrepreneurs closed, 16,775 of them were declared bankrupt in court (Rosstat data)

Advantages . The main advantages of business lending: low interest rate, ease of registration, long period of repayment of debt to the bank

Many financial organizations have special programs under which they cooperate with entrepreneurs. Business.Ru has prepared a summary table with the main proposals.

Bank loan programs for business

Bank	Program	Lending terms	To whom is it provided? credit		Return Guarantee
	"Business-Invest"	Rate – from 11% The payment period is up to 120 months. The minimum loan amount is 150 thousand for agricultural producers and 500 thousand for other entrepreneurs.	Legal entities and individual entrepreneurs with revenue of less than 400 million per year, who work at least: 3 months - if the activity is related to trade; six months - in other cases, with the exception of seasonal business; year - for seasonal activities. If an individual entrepreneur takes out a loan, then he must be less than 70 years old at the time of execution of the agreement.		Issued on bail, with the guarantee of other persons, or under the patronage of the Federal Business Development Corporation
	Loan for any purpose	Rate – from 12% Validity period - 3 years / Maximum loan - 1 million.	Individual entrepreneur who has opened a bank account		No guarantors or collateral
	Business loan	Rate – 15.5-17% Loan amount – from 300 thousand to 1 million.	Organizations and individual entrepreneurs that have been operating for at least 12 months. Entrepreneurs must be in the age category of 22-65 years	Legal entities must confirm intended use
	Investment lending	Rate – from 10% Loan term – up to 10 years Loan amount – up to 150 million.	Small businesses	They require a collateral (25% of the amount may be released from collateral), support from guarantors or a fund for supporting small entrepreneurs

Risks. Before you take out a loan for business development, carefully assess your capabilities: whether you can repay it. You can get legal advice. Remember: this is not the best source of funding for a new entrepreneur.

At first, it is extremely difficult to build a business; you need to pay rent and salaries. And then there is the loan, which cannot even be deferred. You can borrow money from a bank if there is a source of repayment outside. Plus, you run a high risk of ruining your credit history. I would not recommend such a source.

How to act. To receive money, you need to fulfill the conditions of financial institutions that they impose on borrowers to guarantee repayment of the debt:

• take out a special insurance policy that slightly increases the interest rate;
• leave valuable property as collateral: real estate, a car or other liquid expensive items;
• find a guarantor who will be ready to take on loan obligations in case of unforeseen circumstances;
• provide a business plan. Bank employees will not study the entire document; create a shortened version for them with the most important aspects of the activity.

In addition, the bank will carefully check your credit history. Failure to pay will significantly increase the likelihood of refusal. If the bank nevertheless decides to cooperate with an unreliable client, it will offer less attractive conditions: it will reduce the loan term and its size, and increase the interest rate. As a result, it is unlikely that you will be able to take more than 1 million rubles, and the overpayment compared to normal conditions can reach 25 percent.

The likelihood of a positive decision also directly depends on the purpose of using the money. Most often, entrepreneurs take out a loan to increase working capital, acquire licenses to operate, and purchase equipment for the enterprise itself.

Olga Danilova, Deputy Head of the Accounting Outsourcing Department

Regardless of the amount of the loan agreement, conclude it in writing. If the agreement does not indicate interest, the organization must pay it at the key rate in effect in the relevant periods. The agreement can specify a special procedure for paying interest. If this is not specified, interest is paid monthly until the day the loan is repaid, inclusive.

note: in addition to interest under the loan agreement, the document may provide for additional payments. You can check the contract and organize accounting support for the company.

Who will not be approved for a loan?

A request for funds is most likely to be rejected by:

• Legal entities and individual entrepreneurs who will not be able to pay at least part of the costs of starting a business
• Entrepreneurs with fines and overdue loans issued earlier
• Enterprises declared bankrupt
• Applicants with an unprofitable business plan

The hardest thing is to get money for a business from scratch. As a rule, financial institutions sign contracts with businessmen who have been successfully running a business for at least one or two years. But if the bank recognizes that the goal is financially promising, it can cooperate even with a novice businessman. Otherwise, seek help from organizations that will petition the bank. Similar funds operate in 82 constituent entities of the Russian Federation. For example, these include:

• “Fund for Assistance in Lending to Small and Medium Businesses”, St. Petersburg;

Funds provide guarantees on a paid basis, for example, St. Petersburg funds charge 0.75% per annum of the guarantee amount.

Method 2. Find a partner

Who is most suitable for?. Searching for a business co-owner should primarily be done by those who plan to open an enterprise with minimal risk of ruin. For example, these are always popular food outlets or shops.

Advantages. Increase in starting capital. If you lack funds, you can always take out a “double” loan, or sign up a partner as a guarantor. Possibility of distribution of responsibilities: each of the co-owners of the business performs functions that are most consistent with his experience and knowledge. Support in difficult situations. A partner will always come to the rescue in cases where the entrepreneur cannot cope with the problem on his own.

Denis Smirnov, head of the online aggregator of stock forecasts Raddar:

The advantages include the possibility of reducing costs at the initial stage if responsibilities are correctly distributed within the team. This, however, is a rather short-term benefit, since the rapid development of the enterprise will still require the involvement of qualified personnel.

Important . Feel free to outsource responsibilities that cannot be distributed. This applies to specialists, whom a start-up company cannot do without, but hiring them on staff is too expensive. For example, a lawyer, occupational safety specialist, accountant. For example, the services of an accountant will cost an average of seven thousand rubles.

The benefits also include an increase in useful connections and support in difficult situations: it is easier to make decisions together.

Risks. A partner can leave the business at any time and receive compensation for his part; he also has the right to sell his share to a third party. A new person who comes in his place can disrupt the work and prevent the implementation of the existing strategy.

Vyacheslav Zolotukhin, ideologist and founder of the professional social network Evolution with blockchain technology:

You may not work well with your partner. And if the attraction of a partner happened at an early stage, then you can sell a huge part of the project for super-little money, and this is very unprofitable.

How to act. Carefully evaluate the person you are planning to do business with. He not only must have certain knowledge and skills. But also to be trusted.

Dmitry Chernov, chairman of the committee of the Orenburg branch of “Support of Russia”:

You must be 110% confident in your partner. There are dishonest partners who are trying to return their funds, add additional interest, leave the business, afraid of the first difficult months

Develop a joint business plan that will satisfy both aspiring businessmen. You can only give your all to a project that impresses;

Fix the issues of joint business in the partnership agreement. An official document will help resolve controversial situations that often arise even between close people.

Important. Don't cooperate with relatives. Very soon they will feel that they are in a privileged position and will begin to make additional demands.

You can involve not only acquaintances in doing business together. The search for startup partners can be done on special Internet platforms. You can also get investment there by presenting your project or an already operating business. Russian platforms working in this direction include:

• Business is a special forum created to find and attract business partners. Every day up to 10 proposals for conducting business appear. You can create your own thread and talk about the benefits of the idea;
• StartupPoint is the first Russian platform for finding investors and partners. The database contains more than 4.5 thousand projects.

Method 3. Contact investors

Who is most suitable for? Investments for business development assume that the investor will receive certain funds, while completely withdrawing from the direct conduct of the business. Therefore, if you plan to open a simple business, for example, a car repair shop, then it is better not to contact investors. The method is optimal for those who have discovered a new technology or are planning to bring a unique product to the market. However, keep in mind: one idea is not enough.

Zamir Shukhov, CEO and partner of Global Venture Alliance GVA:

There are many interesting memes on the Internet on this topic. One of them depicts a meeting between two people. One says to the other: “You know, I have a great business idea and all I need is investment, developers, an office and help with my first clients.” And the second one answers him: “So, in essence, you have nothing!” In fact, this is also the real state of affairs. If a person only has an idea, then it is extremely unlikely that anyone will be willing to give him money for this idea, unless it is a bank or collateral for some property for a small business loan.

Example of an investment agreement

Advantages. It is difficult to accumulate a certain amount necessary to implement your own project; taking out a loan from banks is unprofitable and risks ending up in a debt trap. Therefore, beginning entrepreneurs often seek to attract outside investors to their business. An example for inspiration is “Apple”: having invested 91 million of other people’s money, the brand owner managed not only to receive a huge income himself, but also to return $154 million to investors.

Risks. When attracting investors, remember that you will have to part with part of the profit. Moreover, if the business has to be liquidated, the investor will receive the money first. The entrepreneur himself may still owe money to third parties. In addition, the investor owns a certain part of the company's portfolio. He can participate in decision-making and even initiate the sale of the company if he has a certain block of shares or owns a significant share.

How to act.

Many individuals and a number of organizations can be involved in investing in a project, for example:

1. Friends and relatives. Russians prefer to save money rather than put it into business. This position is often due to low financial literacy. However, people are often ready to entrust their savings to family members or acquaintances, especially if the specter of big profits appears before them.
2. Successful businessmen. Business people usually know the value of money and are willing to invest only in projects that are more likely to pay off. Therefore, it is worth contacting it only if the idea is formalized and supported by appropriate calculations.
3. Investment funds. Organizations that specialize in business support and receive their main income from paid off investments. Therefore, the selection of candidates for receiving funds is approached carefully. An aspiring entrepreneur will be able to receive funds only if he provides a carefully developed plan for the organization and operation of the enterprise.

A promising place where aspiring entrepreneurs can look for investors is the AngelList platform. There are about 400 companies and 3,200 investors in the Russian segment of the database. Also interesting is the Napartner portal, which claims to have attracted about $6.25 million in investments.

Getting borrowed funds is not so easy. Investors need to be provided with comprehensive information about the project. Any investor will want to know what the invested money will be used for, so they require the applicant to have a detailed business plan, a project presentation that will reflect the essence of the future enterprise, and an expense plan.

It will be easier to find an investor if you can provide a money-back guarantee.

Pavel Spichakov, managing partner of the Promslavl group of companies:

It is important for investors that a significant part of the money is invested not in virtual, but in tangible assets: land, buildings, equipment. One of the areas of activity is helping active people who want to create their own production in finding investors.

Method 4. Use crowdfunding

Who is most suitable for? Crowdfunding is mainly used to raise funds for charity. Of course, you can also raise enough money for a cannery, but the process will take a lot of time. Therefore, for those who are looking for quick business investments, this method is not suitable. As well as for entrepreneurs who do not have their own funds or are not ready to reward investors.

Advantages. Crowdfunding allows you to attract money from not just one, but many investors at once. For startups, this is an opportunity to start operations with virtually no preliminary investment, advertise their services and assess the demand for them in the market.

Alexey Basenko, CEO of SimpleFinance:

Crowdfunding is an alternative way to attract financing for business development. The client does not need to waste time on office visits; the entire process takes place remotely, online, with a minimum package of documents. In essence, a full-fledged alternative to the banking system is being created.

Risks. When starting a business using crowdfunding, you should be especially careful: if you fail to implement the project, you can lose your reputation and say goodbye to the opportunity to open an existing business in the future.

Zamir Shukhov, CEO and partner of Global Venture Alliance (GVA):

Crowdfunding is a very good and interesting tool. But if you raise money and then don't deliver the product to people, you can even be prosecuted in court. Essentially, this is a scam. Here you need to be very careful and understand that you must sell the product and deliver it to your customers.

How to act. Register on a special platform on the Internet, post a video presentation of your project, and tell us about it. You can try your hand at Planete.ru or Boomstarter.

Semyon Kibalo, an entrepreneur and traveler from St. Petersburg, collected 202,304 rubles in 40 days for his project “Reality Show Business from Japan.” As a result, he created 10 tips that will help you take advantage of crowdfunding.

Semyon Kibalo, entrepreneur and traveler from St. Petersburg, author of the blog “idea hunter”:

1. Tell us how your project can be useful to others, convey its value.

2. Make a short, honest video presentation about your idea.

3. Provide reasonable collection numbers.

4. Provide small, interesting incentives for sponsors.

5. Don’t expect money to come to you on its own.

6. Create a fundraising plan.

7. Be prepared for both positive and negative feedback.

8. If you run out of energy, don’t despair, the peak of the collection occurs in the first and last weeks.

9. Work as a team.

10. Thank every person who supported your project.

Guzel Sanzhapova, the creator of the Cocco bello brand, collected 4.5 million rubles through crowdfunding for 4 of her projects for the production of cream honey in the village of Maly Turysh.

Method 5. Get a grant

Who is most suitable for? Most often, grants and competitions are held among entrepreneurs working in the field of high technology, medicine, education, ecology, as well as those who propose innovative projects.

Advantages. The winners receive special grants, which are used as initial investments to start a business.

Risks. Typically, a grant is awarded subject to certain conditions. And only if the company matches them, the money will be transferred to its account. Certain requirements must also be met during the process of disbursing funds. If the granting organization determines that the company is not operating properly, it can withdraw the money. This happened in 2015 with residents of the village of Kholmogory Oleg and Anna Feneva, who received a grant of 1.8 million rubles for the development of peasant farming. They did not fulfill one of the conditions - lack of official employment. For this, money began to be withdrawn from entrepreneurs through the courts.

How to act. The state is mainly responsible for holding competitions. It also determines the priority directions for business development. In 2018, we developed more than 250 projects in 80 areas of activity. Within this framework, budding businessmen are provided with assistance.

A prerequisite for such programs is paying part of the expenses at your own expense. You need to contribute from 30 to 70% of the total cost of the project.

For convenience, use the business navigator service; it will help you find all available support measures, look at options for purchasing an existing business or franchise, and also use analytical data to select the type of activity in your city.

Business navigator in St. Petersburg

An example of a competition from a private company is Lipton GoodStarter. The competition supports aspiring entrepreneurs who work in the social sphere. The winner is determined by the number of likes - whoever has the most will receive funding. Thanks to the competition, you can receive about 300,000 rubles; both new projects and existing organizations can participate.

Lipton competition

Method 6. Take advantage of government support

Who is most suitable for? The state allocates funds only to entrepreneurs operating in certain industries. They finance businessmen working in the field of:

• innovation;
• social orientation;
• tourism;
• agro-industry.

In addition, support is provided to aspiring entrepreneurs who organize small and medium-sized businesses.

The regional government allocates subsidies for the development of priority industries and holds competitions for grants for young businessmen and women entrepreneurs.

Advantages. The main advantage of public investment is that there is no need to return the funds received. The state benefits not from making a profit, but from developing a lagging industry at the expense of new enterprises.

Galina Khvostova, sales growth expert:

Please note that subsidies are money that the government gives you and you do not need to pay it back. It’s not that you don’t have to pay interest, but that you don’t have to pay anything back at all. That is, you took them, spent them on your business, and reported them as expected. That's it - you are free.

Risks. The entrepreneur who received the subsidy is assigned certain responsibilities. For example, he must report on the use of funds and use them exclusively for their intended purpose. The funds themselves must be used for the purposes specified upon receipt. Otherwise, the entrepreneur risks not only losing his reputation, but also facing administrative or even criminal liability.

How to act.

Check that your line of business is included in government support programs (see table below).

Denis Smirnov, head of the online aggregator of stock forecasts Raddar:

In recent years, the Russian state has not only made loud statements, but also really helped aspiring businessmen in starting their own business - large, national assistance programs are prescribed in priority areas until 2025.

Government business support programs

Program	Who can receive	What kind of help will they provide?
"Start"	Businessmen operating in the field of IT technologies	The state invests 2.5 million rubles, the entrepreneur must find an investor who will additionally invest the same amount in the business
"Smart ass"	Entrepreneurs under 30 years of age. Those working in the innovative technology industry have an advantage	500 thousand rubles
"Development"	Businessmen who plan to expand their enterprise and create additional jobs	Up to 15 million rubles
"Cooperation"	Small and medium-sized enterprises that are ready to modernize and join large industrial production	Up to 20 million
"Internationalization"	Companies that plan to develop projects in cooperation with foreign companies	Up to 15 million

There are also regional programs. For example, they subsidize entrepreneurs who open a business in a certain field of activity, for example, “Small Business Don”.

But if you still managed to fit into the framework of the projects, you can receive funds that you won’t even have to repay in the future.

Bonus

Is it possible to open a business without money?

Initial investments will be required in any case. But there is good news: their size can be so insignificant that you can allocate the required amount from your own funds. If there is no money at all, but the desire to do business is enormous, a way out can be found.

Anastasia Yakusheva, owner of the “Lady’s Showroom” showroom chain:

“The lack of money will have to be compensated with your time, your belief in the project, your creativity, your willingness to work around the clock, constantly learn and be receptive to new ideas and trends. Be prepared for the fact that at the start with a zero budget you will attract friends and acquaintances. For example, they can test how relevant and in demand your products or services are. Check if they are ready to buy them? If yes, move on to the next stage - create demand and collect pre-orders even before you have the product in your hands or the service is ready for sale, before you have invested in it. There is no budget - rely on word of mouth and networking, the more people know and talk about you, the more they help you, the sooner you will get your first sales.”