The EU SME Policy in the Single Market Strategy
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1 The EU SME Policy in the Single Market Strategy OBI - 29 February 2016 Dionysios TSAGKRIS dionysios.tsagkris@ec.europa.eu 15/03/2016 1
2 Single Market: facts and figures o Single Market: seeks to guarantee the free movement of goods and services as well as capital and people the "four freedoms" between the EU's 28 member states. o Single Market economy: 500 million consumers 21 million companies 14 trillion euros GDP 15/03/2016 2
3 SMEs: Backbone of EU economy 21 million SMEs in Europe 99% of businesses in the EU are SMEs More than 100 million jobs 85 % of new jobs in the private sector created by SMEs that provide more than two thirds of jobs SMEs account for more than 58% of the total gross-added value. 15/03/2016 3
4 Size of Enterprise The Demography of SMEs in Greece Source : SBA Fact sheet 2015 Very Small 96.7% Number of Enterprises Employment Added Value Greece EU 28 Greece EU28 Greece ΕU Small 2.9% 20,058 Medium Size 0.4% 2,455 Total SMEs 99.9% Large Enterprises % % 58.7% 29.2% 37.4% 21.1% 6.1% 17.3% 20.4% 20.9% 18.2% 0.4% 10.9% 17.3% 16.6% 18.5% 99.8% 86.9% 66.9% 74.8% 57.8% 0.2% 13.1% 33.1% 25.2% 42.2% 15/03/2016 4
5 Adopted in June 2008 The Small Business Act Main objective: create a common framework for SME initiatives and implement the Think Small First principle 10 principles and a set of policy actions to implement them Exchange of good practices 15/03/2016 5
6 The 10 SBA principles 1. Support entrepreneurship 2. Give a 2 nd Chance to Honest Entrepreneurs 3. Think Small First 4. Public administration responsive to SME needs (egovernment) 5. Improve access to public procurement & use of state aid 6. Facilitate access to finance 7. Benefit from Single Market opportunities 8. Access to skills and innovation 9. Eco-innovation/environment opportunities 15/03/ Access to external markets
7 The SBA Review (2011) Priority areas: Access to finance Entrepreneurship Access to markets Smart regulation Enhanced Governance - SME ENVOYS 15/03/2016 7
8 Enhanced governance: The network of the SME Envoys European level: the EU SME Envoy listens to SMEs and their representatives and act for the benefit of SMEs for EU policy making. National level: EU Member States have appointed their national SME Envoys The national SME Envoys together with the EU SME Envoy form the SME Envoys Network 15/03/2016 8
9 Monitoring SBA implementation SME Performance Review The SPR is a tool to monitor the SME performance and the implementation of the ten SBA principles at EU and national level It includes: The annual Report The SBA Country fact sheets (MS and some third countries) Thematic studies 15/03/2016 9
10 SINGLE MARKET STRATEGY 15/03/
11 Links with various other workstrands Investment Plan Digital Single Market Strategy Capital Markets Union European Energy Union, Initiatives in transport sector - and other sectoral initiatives Labour Mobility Actions in tax area European Semester - Structural reforms in the Member States 15/03/
12 Helping SMEs and start-ups to grow Helping SMEs and start-ups to grow A number of cross-cutting actions, for example: Access to finance (CMU, Investment Plan); VAT Action Plan; Initiative on business insolvency (cf. give entrepreneurs a second chance); Initiative to facilitate the use of digital technologies to start and scale-up a company and cross-border mergers and divisions; Identify barriers to innovation; 'Start-up Initiative': to engage all relevant players with the aim of improving the environment for startups in Europe. 15/03/
13 Helping SMEs and start-ups to grow. ''The fear of punitive Bankruptcy laws'' The effects of bankruptcy : deter people from entrepreneurial activity, disincentive to start up a business. fear of the social stigma. The Commission will support bona fide entrepreneurs. Legislative proposal on business insolvency, including early restructuring and second chance. 15/03/
14 Non-Legislative Action ''European Network for Early Warning and for Support to Enterprises and Second Starters'' The aim is to develop advisory and support services to (1) still viable businesses for restructuring and advice to survive, (2) help honest bankrupt entrepreneurs to go for a second start in business, inter alia to manage and restructure their debt, to facilitate their economic and social inclusion and advise them in a 'second start'.
15 ROADMAP Actions Timetable Guidance on how EU law applies to collaborative economy business models 2016 VAT Action Plan 2016 Legislative initiative on business insolvency, including early restructuring and second chance 2016 Initiatives to facilitate the use of digital technologies throughout a company s lifecycle and cross-border mergers and 2017 divisions Start-up initiative 2016 Guidance on reform needs for Member States in regulation of professions 2016 Analytical framework for Member States to use when reviewing the existing or proposing additional regulation of 2016 professions Legislative action to address targeted regulatory barriers in key business services and construction services 2016 Legislative initiative to introduce a services passport for key sectors of the economy such as construction and business 2016 services Communication setting out best practices to facilitate retail establishment and reduce operational restrictions 2017 Legislative action to prevent discrimination against consumers based on nationality or country of residence Mid-2016 Joint initiative on Standardisation 2016 Dedicated guidance on service standardisation 2016 Public procurement: voluntary ex ante assessment mechanism for large infrastructure projects 2017 Initiatives for better governance of public procurement through the establishment of contract registers, improved data collection and a networking of review bodies Initiatives to modernise the intellectual property rights (IPR) framework, including a review of the EU IP enforcement framework Data analytics tool for monitoring Single Market legislation 2017 Proposal for market information tools allowing the Commission to collect information from selected market players 2016 Legislative proposal modelled on the successful features of the current notification procedure under Directive (EU) 2015/1535 for services currently not covered by that Directive 2016 Action Plan to increase awareness of the mutual recognition principle 2016 Revision of Mutual Recognition Regulation 2017 Comprehensive set of actions to further enhance efforts to keep non-compliant products from the EU market (including a possible legislative initiative) 15/03/
16 SMS actions will deliver results for: Consumers SMEs and start-ups Innovative services Professionals 15/03/
17 Facilitating Access to Finance Direct support to enterprise financing COSME 2,3 bn HORIZON bn Structural Funds 15/03/
18 COSME: Program for Competitiveness of Enterprises and SMEs Objectives : a. Improving access to finance b. Improving access to markets c. Improving framework conditions for business d. Promoting entrepreneurship Main target audience: SMEs, Entrepreneurs, Business Support Organisations, regional and national Administrations. 2,3 billion for /03/
19 Horizon 2020 & COSME Financial Instruments Equity instruments Equity Facility for R&I (H2020) Equity Facility for Growth of SMEs (COSME) Debt instruments SMEs & Small Midcaps Guarantee Facility for R&I (H2020) Loan Guarantee Facility for SMEs (COSME) 15/03/
20 EU financial instruments /03/
21 15/03/
22 Thank you for your attention Dionysios TSAGKRIS DG GROW Policy Officer 15/03/
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