Help for individual entrepreneurs from the state in 2020

Types of government assistance

Assistance to individual entrepreneurs from the state is provided in several forms: financial, property, information, and infrastructure.

You can count on the following types of financial support:

funds from the employment center;
grant for start-up entrepreneurs;
preferential lending;
subsidizing.

Funds for opening an individual entrepreneur through the employment center are allocated in order to combat unemployment and maintain self-employment. Such assistance represents one-time financial support in the amount of sixty thousand rubles. These funds can be spent exclusively on organizing your own business. If a businessman plans to employ one or more employees in his activity, the amount of the subsidy increases in proportion to the number of employees hired.

For beginning businessmen, special funds can compensate up to five hundred thousand rubles spent on creating a business. Grants are traditionally allocated for development in those sectors that are significant for the state. Today these are agriculture, innovation, education, areas of social significance and other areas.

Preferential lending involves issuing loans to individual entrepreneurs at rates that are lower than in banks. Today they amount to 11% per annum. You can receive up to one billion rubles for a period not exceeding three years. It should be borne in mind that only those individual entrepreneurs who have been successfully operating for more than 6 months can count on preferential loans. At the same time, the entrepreneur should not have outstanding debts or damaged credit history.

Subsidizing individual entrepreneurs involves issuing funds for specific purposes. In this case, you can count on government assistance to reimburse part of the interest on the loan, overpayments and the down payment for leasing, training and advanced training of workers.

Regardless of what the small business support scheme is, subsidies are issued only after going through a difficult procedure. First of all, you will need to develop a business plan and provide well-written documents. When the assistance is allocated and spent, you will have to document the directions in which the funds were spent.

https://youtu.be/JTKgPQan2WM

The nature of state support for individual entrepreneurs

State support for small and medium-sized businesses can be provided in several main directions. Namely, these are the following segments of the development of a specific business project:

Information support;
free legal consultations;
preferential tax system;
a system of simplified regulation of the life activity of individual entrepreneurs by fiscal and other regulatory authorities.

In addition, it is important to create an atmosphere of loyalty towards the entrepreneur in the state system, when a person feels that his efforts are not only approved, but also encouraged. And, in any case, the practice of piling up the bureaucratic complexities of previous years must be gradually abandoned.

An entrepreneur should feel the freedom of his economic activity and feel state support in this area, but not pressure.

Supporting small businesses in 2020 should become a priority task of the modern economic model, and this top priority, in turn, should become a determining factor in choosing ways and methods for developing the domestic economy.

Conditions of receipt

Don’t think that it will be easy to get free subsidies for individual entrepreneurs from the state. In fact, extensive and serious work will have to be done.

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Help for small businesses

After registering with the employment center and receiving official unemployed status, the entrepreneur must go through the following steps:

choose a field of activity;
draw up a detailed business plan, in the final part it is important to carry out an economic as well as social justification of the significance of the business being opened for the development of a particular region;
conduct state registration of entrepreneurship;
submit the documents, application, and business plan prepared according to the list to the relevant authorities.

The submitted application is considered by the commission. The duration of this process reaches sixty days. After the review procedure, the commission makes a decision, which is sent to the entrepreneur by registered mail.

It is important to keep in mind that when receiving government support, an individual entrepreneur takes on specific responsibilities. First of all, they involve submitting reports. Subsequently, the individual entrepreneur is obliged to provide a report on the expenditure of the funds received. In this case, it is important to attach checks, payment orders, receipts and other documents confirming the direction of expenditure of funds.

When learning how to open an individual entrepreneur through the employment center, it is worth learning an important rule. If a businessman cannot provide documents regarding the direction of spending the money received, he will have to return the subsidized funds to the state.

Self-employed specialist

To start working as a self-employed specialist, you need to register through the “My Tax” application or your personal account on the tax website.

If you are a self-employed professional, then by law you are defined as a “payer of professional income tax.” You pay taxes - 6% of income from legal entities or 4% from customers - “physicists” - but by default you do not make contributions to pension and insurance funds, and also do not file a tax return.

To work with you, the customer must draw up a civil law agreement (CLA). Before the start of cooperation, you will need to come to his office twice: first to sign the contract, and after finishing the work - to sign the acceptance certificate. To receive payment, you issue the client a check through the My Tax app and send it by email.

Calculation. If you want to receive 15,000 rubles for presentation design, then when working with a legal entity, add 900 rubles to this amount. (6%), and when cooperating with an individual - 600 rubles. (4%). The self-employed have no further expenses.

Once a month in the My Tax application you will receive a notification about taxes accrued for the previous month. It will contain all the necessary amounts and details. The deduction will take no more than two minutes. You can also set up the application so that the money is debited automatically.

Cooperation with the self-employed, as well as working with individual entrepreneurs, is beneficial to customers. They pay a freelancer for their work by check and do not burden themselves with making calculations, transferring money to funds and sending tax returns.

If you plan to work with foreign companies, then open an account in the PayPal or Payoneer payment systems - from them you can withdraw payments to a card in any bank in Russia. On the day the money is received in the ruble account, generate a check in the “My Tax” application and send it to the customer by email. The application will include this amount in the notification of taxes assessed for the previous month.

My Tax app for Android. There is also a web version and an iOS version.

Drawing up a business plan

A subsidy for opening an individual entrepreneur is issued only if a well-written business plan is provided.
There is no established template according to which such a document is drawn up. However, there are a number of points that must be considered in the business plan:

The first part necessarily contains the personal data of the entrepreneur. Here you should describe in detail the features of the chosen field of activity and explain why the chosen business is significant for the state.
The second chapter of the business plan contains a description of the project. It is important to pay attention to the activities through which it is planned to achieve a specific profit level.
When drawing up a business plan, studying the market, as well as the niche that the entrepreneur plans to occupy in it, is of great importance. Here you will have to describe the work process in detail, make a list of the necessary fixed and working capital, and provide a staffing table. In addition, at this point the cost of the project is calculated, as well as the payback period.
At the end of the business plan, information about the expected risks is provided. It is important to foresee in what ways the entrepreneur will avoid them.

Only a well-drafted plan can become the basis for obtaining a subsidy for organizing and developing a business. Without this document, no commission will consider the possibility of government support. It must contain real data and calculations, since after receiving funds you will have to spend them exclusively in accordance with this document. Subsequently, the costs must be documented. The Commission of the Employment Exchange (Employment Exchange) will check their full compliance with the business plan.

Legal regulation of small businesses

Legal relations in the field of small business development are regulated by the Civil Code, as well as such special sections of law as:

civil;
tax;
labor;
financial;
land.

In addition, there is also a huge package of industry legislation that regulates highly specialized segments of financial and economic relations. If you decide to open your own business and don’t know where to start, we recommend that you contact a lawyer who will help you deal with many important issues, in particular:

procedure for drawing up appropriate registration documentation;
process of direct registration of individual entrepreneurs;
choosing the optimal taxation system;
procedure for closing an individual entrepreneur who has a certain debt to the fiscal system.

You can get such advice to develop your business completely free of charge.

Where can you spend subsidies for small businesses from the state?

Assistance from the state to individual entrepreneurs is targeted. This means that there is a strictly designated list of areas where you can spend the money received. They should be followed both when receiving money to organize your own business and to develop it.

The directions for spending the subsidy are necessarily reflected in the business plan. An entrepreneur cannot spend funds at his own discretion.

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Help with opening a sole proprietorship

Assistance to individual entrepreneurs can be aimed at solving the following problems:

Purchase of equipment. Machines, machines, devices, and devices purchased with money received from the state cannot be sold or otherwise transferred to third parties for 3 years.
Rent of real estate necessary for running a business. You cannot spend more than 20% of the funds received for these purposes. It is important to conclude a formal agreement, which will subsequently be needed to confirm the direction of spending the funds.
Payment for software necessary for running a business, obtaining licenses and patents.
Acquisition of working capital in the form of raw materials and supplies. More than 20% of state aid cannot be spent on these purposes.

Do not forget that the entrepreneur will have to report where the funds provided were sent. This is why it is important to keep all supporting documents. It is necessary to carefully collect checks, transfer orders and other payment papers.

Social mission of small business

Small business is not only an opportunity for effective self-employment and the removal of some social responsibility from the state apparatus. This is, first of all, the creation of new jobs and the payment of taxes, which will not only replenish the state treasury, but also contribute to the further economic development of the region.

The state is interested in increasing the segment of small and medium-sized businesses, and the latter, in turn, needs state support. This is a kind of cycle where each element of the system is in its place and performs a specific function. In exchange for his economic loyalty, an entrepreneur should know that in difficult times he has the right to expect support from the state.

The state actively provides assistance to small businesses because it is interested in their development.

It has been proven that regions with actively developing small businesses and a large number of individual entrepreneurs are economically more efficient and socially prosperous than large industrial areas where state priority is given to the development of large corporations.

At the same time, it is important to remember that state support should manifest itself not only in the form of written and oral declarations, but also in a system of specific practical actions aimed at improving the social and economic situation of individual entrepreneurs in the Russian Federation, as an equal subject of economic relations. To get the first profit from your business, you need to invest a lot of effort and time - therefore government support at this stage is a very important factor.

Reasons for refusal

Not only studying how to obtain a subsidy is of great importance. It is also important to know why government assistance may be denied.

There are several circumstances that can lead to a negative decision on an application for a subsidy:

Wrong choice of business direction. Do not forget that the state never supports some industries - this is the production of alcohol and tobacco products, the banking sector, and the insurance industry. You should also know that for agriculture, education, medicine and other socially significant areas of activity, the likelihood of receiving a subsidy is maximum.
Reapplying for a subsidy. If an entrepreneur has previously received financial assistance to start a business, the probability of a negative decision on the application will exceed 80%.
Poor business plan. The reason for refusal may be insufficiently detailed consideration of income and expenses, lack of necessary calculations, too long payback period, as well as lack of description of economic and social significance.
Significant amount of required funding. When drawing up an application for a subsidy, some entrepreneurs do not take into account how much the state agrees to provide for this purpose.
Lack of description of the direction of spending funds. It is important that the business plan clearly states how the funds will be spent. If this does not happen, government agencies will not be able to control the targeted spending of money.

To maximize the likelihood of a positive decision on a subsidy application, it is important to take into account all the reasons for refusal and try to avoid them.

Don't forget about insurance premiums

Insurance premiums are also subject to deferment and installment plans, and the criteria for enterprises are the same. Contributions from payments for March-May 2020 are postponed for 6 months, and for June-July - for 4 months. Individual entrepreneurs who calculate contributions for 2019 on income exceeding 300 thousand rubles also receive a 4-month deferment.

Payment of contributions for insurance against accidents and occupational diseases is extended for the same period. Initially, the rules applied only to micro-enterprises, but now they cover all small and medium-sized businesses (SMEs) that meet three main criteria.

In addition, for SMEs from April 1 to December 31, 2020, there is a reduced contribution rate - 15% instead of 30%. Of these, 10% is compulsory pension insurance, 0% is social, and 5% is health insurance. But the benefits do not apply only to those enterprises that pay wages above the minimum wage.

Where to contact:

You don't need to do anything. The calculation will be carried out automatically at the new rate.

Are there options for the self-employed:

No. Self-employed people are exempt from insurance premiums.

Paper passes in the regions: application practice

A paper pass is issued by the employer, as a rule, in a form approved by the administration of the municipality. Including “for yourself”, if the employer is an individual entrepreneur or the head of an organization. A police officer can verify the authenticity of the pass by ]]>calling the business]]>. In a number of regions, ]]>coordination of the pass with the city administration]]> is required.

Document formatting schemes can therefore be very different. Due to the fact that the regulatory framework on this issue is being formed, in fact, in an emergency mode - and there are no unified approaches, the most correct thing is to call the city administration and consult there about issuing a pass. Rules can change literally “on the fly” and it is important to apply the current ones.

Now - about digital passes.

Individual

To cooperate with companies as an individual, you do not need to do anything in advance.

Working with you, a freelancer, as an individual, the customer enters into a civil law agreement. At the same time, unlike the previous scenario, he takes upon himself the responsibility to pay taxes for you, transfer mandatory insurance and pension contributions, and also file a tax return once a year.

For your part, you need to prepare an agreement for a one-time service or for a subscription service with automatic renewal (depending on the agreements). Before the work begins, you will need to come to the customer’s office to sign the contract, and after completion of the work, to sign the document.

Calculation. Let's get back to our presentation. If, according to the agreement, the amount of payment for the presentation design is 15,000 rubles, then you will receive it on the card. The customer will pay 13% of personal income tax and 30% of mandatory contributions (which is another 6,450 rubles) directly from his own pocket.

This type of work scheme is beneficial for you, but not so much for the client: he spends a lot of time on document management and money on paying taxes and fees. Therefore, in recent years, companies are increasingly refusing to work with freelancers under GPC agreements in favor of individual entrepreneurs and self-employed specialists.

There is only one situation when it is beneficial for a customer to cooperate with a freelancer under a GPC agreement - if he plans to pay you a fixed amount monthly under a subscription service agreement. He shouldn’t do this with individual entrepreneurs - he could run into problems with the tax authorities.

If you plan to work with foreign companies, then, as in the case of self-employment, open an account in the PayPal or Payoneer payment systems - from them you can withdraw payments to a card in any bank in Russia.

In this case, once a year before April 30, you will also need to submit a 3-NDFL declaration. Fill out sheet B “Income from sources outside the Russian Federation”, attach a copy of the GPC agreement, and pay 13% personal income tax by July 15. In this case, the customer will not help you with this; you will have to do everything yourself.

Whom an individual entrepreneur cannot work for?

An entrepreneur cannot get hired in a place where employees are prohibited from doing business. A similar prohibition is prescribed in federal laws regulating the work of a certain circle of persons.

In particular, an individual entrepreneur will not be able to work as a civil servant (Clause 1, Article 17 of Federal Law No. 79-FZ of July 27, 2004). For example, you cannot get a job at the tax office, or the bailiff service, or be an employee of the Ministry of Internal Affairs, or a deputy.

An individual entrepreneur cannot get a job working for himself. That is, he cannot sign an employment contract with himself.

An entrepreneur cannot work as a civil servant and cannot enter into an employment contract with himself.

Therefore, an individual entrepreneur can work in another organization using a work book, but cannot draw up and fill out this book for himself.

This is the difference between an individual entrepreneur and the sole founder of an LLC, who can get a job in his own company and work, for example, as a director. The individual entrepreneur does not employ himself and cannot officially pay himself a salary.

Duration of quarantine and self-isolation in the Russian Federation

The virus entered Russia in early March. By decision of the authorities and the president, the country took measures - they announced a month of self-isolation. Strict quarantine has been introduced in many regions of the Federation.

From March 28 to April 30, a general quarantine is designated in Russia. This is a Presidential Decree that is valid in all regions of the country. Quarantine is the best measure to prevent coronavirus infection. It takes a huge number of lives, which is why a general quarantine has been declared, and measures have been taken to ensure that people do not leave their homes. Many regions even introduced curfews.

Requirements and conditions of the Presidential Decree

In order to ensure the sanatorium epidemiological well-being of the population, a Presidential decree was adopted, which included the following points:

Introduction of non-working days from April 4 to April 30 with the condition of maintaining all wages;
Limit all public events;
Close all organizations that are NOT essential organizations. Such establishments include all stores that do not provide food and basic necessities, such as matches or candles;
A special letter was also sent to all regions. The governor of his region had to decide whether to introduce quarantine in his region or not. The decision was based solely on the epidemiological situation in a certain region;
All schools, kindergartens and other institutions where there is a concentration of children were closed.

https://youtu.be/nFuR3-fcO1Y

Now most enterprises have entered “quarantine”. Many people are just sitting at home, just like their children. It is worth noting that this situation in the country has greatly influenced the work of individual enterprises, which are worth talking about further.

Also, in most regions a curfew has been introduced, shops are only open as usual, which suggests that the situation is truly dire.

Note! All conditions depend on the virus situation in the region. The authorities must take all measures to provide the population with necessary goods even during the period of quarantine and self-isolation.

Digital pass: what is it?

A digital pass is a special unique code that identifies its bearer as a person who is officially allowed to move around the territory of a city, region, etc. for a specific purpose.

Digital passes have already been introduced in some regions, including:

Moscow and Moscow region (you can get them at mos.ru and uslugi.mosreg.ru);
Tatarstan (special ]]>website]]> has been developed);
Krasnodar region (]]>service]]> on the administration website);
Nizhny Novgorod region (]]>via the application]]> ]]>“Card of a resident of the Nizhny Novgorod region”]]>);
Udmurtia (service on ]]>State Services]]> especially for working citizens);
Krasnoyarsk Territory (site is being tested), etc.

A digital solution for issuing passes has already been developed, which is expected to work throughout the country, except for the capital - this is the “State Services STOP Coronavirus” application. However, so far it has been adapted only for issuing digital passes in the Moscow region. The program's geographic coverage is expected to expand: judging by its description in application stores, it ]]>is not “tied” to any region]]>.

Most likely, over time, the procedure for issuing passes in all regions will be unified, including thanks to the expected full implementation of the mobile application noted above. But for now, the regional specificity of recording the movements of citizens under quarantine conditions is very noticeable.

One of the first pass registration schemes implemented in Tatarstan deserves attention. Let's look at how an entrepreneur in the region can get a digital pass.