24.02.2022
HOW THE UNEMPLOYED TO START THEIR OWN BUSINESS WITH MONEY FROM THE STATE
The labor offices in the country are already accepting applications and business projects of unemployed people who want to start their own business. This is part of the program of the Employment Agency through financial incentives to promote entrepreneurial initiatives of the unemployed.
One measure enables an unemployed person to receive all or part of the due cash benefits to which he is entitled at once. The aim is to use these funds to help the unemployed to start a business alone or together with others.
In addition, the person may receive additional funds from the state budget in the amount of BGN 2,600 (according to the National Employment Action Plan for 2021), in case he hires another unemployed person under the approved business project without the right to unemployment benefits.
The second measure supports the unemployed who want to start their own business as a micro-enterprise. It provides funds in the amount of up to BGN 4,000 for reimbursement of the expenses incurred by the person for starting the business, incl. for registration of economic activity, initial purchase of raw materials, for purchase, rent or current repair of premises, production equipment, machinery, etc.
In addition, the start-up business person may be reimbursed the costs of the minimum amounts of contributions paid for the Pension Fund, Additional mandatory pension insurance fund and NHIF for up to 1 year after the start of the activity.
Under both incentive measures, the new entrepreneurs have the opportunity to receive additional funds in the amount of up to BGN 500 for used external consulting and / or ancillary services.
An unemployed person who wishes to start a self-employment under one of the two measures must submit an application with an attached business project for self-employment to the labor office where he/she is registered. After approval by an interdepartmental commission at the respective labor office of the business project, a contract will be concluded between the unemployed person and the Labor Office Directorate for providing the expenses regulated in the Employment Promotion Act and set in the business project.
Detailed information on the active forms of providing financial support to promote entrepreneurship of the unemployed can be found on the website of the Employment Agency, in the section "Offering work", "Employment Measures", "Incentive Measures for the Unemployed", as well as in each directorate "Labor Office" in the country.
