Ministry Revises Small Business Law for Wider Funding Options

The Greek Economy Ministry announced recently that it would revise a law covering funding options for very small (VSB) and small businesses, offering incentives aimed at boosting the real economy.

More specifically, the proposed amendment foresees funding up to 3 million euros for VSB and small business projects that meet the requirements.

All very small and small business ventures across Greece, are eligible to apply for subsidy by submitting investment plans in dozens of areas of economic activity.

Government support will include tax deductions, as well as capital incentives such as grants, leasing and wage funding in order to stimulate growth.

The size of subsidies is set out according to the regional aid program, with higher funding for investment projects involving cooperative projects, known as “koinsep”. Under the current program, aid is set at 70 percent of the maximum aid allowed, with cooperative projects at 100 percent. Subsidies also cover 100 percent of allowance for tax exemption, leasing and employment costs.

The proposal also foresees alternative funding opportunities for companies that have set up shop in Greece or are planning to, or to third parties expanding to Greece, with new business activities which will create jobs.