State support of light industry: myth or reality?

< strong>part 1    part 2

Natalia Vstovskaya, CEO of the Friendly World consulting agency, expert in brand creation, promotion of persons, companies, goods, services.

The state, in particular the Ministry of Light Industry and various funds, offers support tools for industry enterprises from year to year. Companies can very successfully use this opportunity to scale their business, open new directions, create additional capacities, and purchase equipment. At the same time, many more enterprises, especially those related to small and medium-sized businesses, do not see these measures as real for themselves if there is an urgent need for investment.

Very often on various forums we hear talk about the need for special measures to support business by government agencies. Such performances have already become a habit: make your way to the microphone – ask for money or defensive actions. We are used to demanding, but we are not used to searching and finding information.

My observations and communication with managers and owners of enterprises allow me to identify several main reasons for not using existing state support measures. Let's take them apart. Maybe in some of these situations you will recognize yourself.

The first reason is ignorance. This is especially true for regional companies.They may have heard about investment programs in their region, but they don't even know about the existence of federal measures. To some extent, this is understandable. After all, you have never heard or seen that on central TV, after advertising, for example, meat sausages, they suddenly said: "And now we are giving money away!"Of course, this is information for specialists, for industry participants, and you need to be able to find it. Seems complicated? In fact, this is not the case. You just need to stock up on time and carefully study the website of the Ministry of Industry and Trade. Moreover, it is not difficult to find information on the topic we are interested in – there is a special section «Support measures ». In addition, there are specialized associations and unions in each industry that are aware of these programs and are willing to advise on all issues that arise.

For example, back in 2013, the Association of the Industry of Children's Goods Enterprises carried out large-scale informational and methodological work at the launch of the R&D subsidy program (research and development work) for enterprises producing products for children. It is thanks to this that many companies have implemented innovative projects for which they have received much-needed investments.

It is also useful to study the websites of foundations, for example, the Fund for the Development of Small and Medium-sized Enterprises or the Fund for the Development of Industry. In addition to them, there are other funds that also provide certain support measures.

The second reason is the lack of experience, or, as they say now, competencies. Yes, if the company has never had to seek government support before, then it simply does not have the appropriate experience and specialists. But if you don't start moving in this direction, the necessary knowledge will not appear. Meanwhile, the situation is fixable. The main thing is don't hesitate to ask. You can get advice on support measures from the Ministry itself. Look for competent employees in special agencies or among freelancers and hire them for a while. Or train your employee. As you can see, this problem is solvable.

The third and perhaps one of the most common reasons is misconceptions and fears. What are the managers and owners of companies wary of? First of all, some are sure that in order to receive support, one must belong to a special clan, and therefore they do not even make attempts. In fact, very detailed and strict criteria are prescribed for each support measure, compliance with which, when applying, is mandatory for any companies, no matter what their owners or managers are in any relationship with the authorities. These criteria should be carefully studied and you should evaluate the chances of whether your application will be accepted for consideration. Others are afraid that "it is worth contacting the state" and the company will be "shaken up from top to bottom", this is a literal quote from conversations with company executives. Of course, they will check. Any public investment requires strict and timely reporting. The good news is that they will check only within the framework of the project.
 

To be continued.

Photo: shutterctock.com