17.06.2020

OPPORTUNITIES IN BULGARIA AND THE LATEST FUNDING PROGRAMS

 

Each crisis provides unexpected opportunities for entrepreneurs - sectors and businesses, which until recently were on the periphery of the field of view of experts and investors, reported staggering growth during this period.

Opportunities for the enterprising:

Online business

It is difficult to identify a business that is not online at all. Many business sectors rely on their presence on the Internet and social networks to function. In the current situation, their inherent ability to quickly reorient and adapt has helped them shoot up and generate multiple growth in their customer base and revenue. Such are most companies providing services in online training, digital marketing and others. According to 'Business Matters'' magazine, sectors such as film and video streaming (eg Netflix) as well as video games are also growing.

The work from home, which many companies have introduced, has led to a legendary growth of video conferencing services such as "Zoom" and other similar platforms (Investopedia).

Home deliveries

Around the world, companies such as Amazon have been tested to the limit due to the increased demand for all kinds of goods and products and their delivery to customers' homes due to social distancing. In Bulgaria, online payments at eMag increased by 180%, FoodPanda - 170%, according to Forbes magazine. The adaptability of the Bulgarian entrepreneur was manifested in the catering sector - many restaurants and bars, even a large chain of confectioneries reoriented to home delivery, which not only survived but also strengthened its relationship with customers.

The sphere of services

Health services - yoga, fitness, etc. they left the halls and moved to social networks. Many instructors began to do classes in front of the camera for their followers. This undoubtedly leads to a number of advantages: instructors provide value, connect with more clients and strengthen their relationships with them.

The Bulgarian entrepreneur and the opportunities today

It is obvious that the flexible and fast will overcome this storm as well. In order to make the most of the opportunities that open up for business in today's atypical environment, funds are needed to finance innovative and adaptive business approaches.

Funding programs, especially from the EU, are often the subject of all sorts of speculation and misconceptions. Often the reason for this is their ignorance and / or misunderstanding, as well as vicious practices that have become the subject of media interest and criminal investigation. However, the opportunities provided by the programs should not be underestimated and should be used optimally to support business entrepreneurship. In general, funding programs are:

Grant programs

They have a longer implementation period (between 4 and 8 months from announcement to receipt of funds); require own participation from 30% to 65% of the project value; they are bound by strict requirements for the economic sector, the history of the enterprise and the way of investment. They are suitable for well-established businesses that can wait and want to make investments with a long horizon and lower returns.

The most current of them at the moment are:

BG05M9OP001-1.054 - SUPPORT FOR SUSTAINABLE BUSINESS - open until 31.03.2021. The applicants are: start-ups, social and self-employed persons, supported by operations under OPHRD 2014 - 2020 or by measures under the Employment Promotion Act. They can apply for amounts up to BGN 5,000 for services aimed at successful development of the enterprise;

BG16RFOP002-2.073 - Support for micro and small enterprises to overcome the economic consequences of the COVID-19 pandemic - the most current support procedure. Applicants must be a micro or small enterprise with economic activity in 2019, with reported at least BGN 30,000 "net sales revenue" in the Annual Tax Return for 2019, to have a registered decrease of at least 20% in turnover for the month of April 2020 compared to the average monthly turnover in 2019, as well as as of December 31, 2019 not to be in difficulty. In this case, they can apply for up to 10% of the turnover in 2019, but not less than BGN 3,000 and not more than BGN 10,000.

Digitalization of small and medium enterprises - an upcoming program with funding of up to 70% of the project value. Applicants must have completed three financial years, be traders or cooperatives and have realized a certain minimum of net sales revenue according to their category (micro, small, medium) in the economic sectors defined by the procedure. They can apply for grants from BGN 50,000 to 391,166 with projects for development of management capacity through the use of information and communication technologies and services.

Voucher scheme for the provision of information and communication technology services (ICT services) to micro, small and medium-sized enterprises (SMEs) - aimed at facilitating access to digital know-how and technology and thus promoting the use of new ICT-based businesses models and to intensify the digitalization of SMEs, which will contribute to the development of their business. The requirements for the candidates are similar to those of the previous procedure. Businesses can apply for a type 1 voucher - for websites and mobile applications - worth up to BGN 5,000; or for a type 2 voucher - for ICT services for digital marketing, process optimization and / or providing cyber and information security worth BGN 20,000. The procedure is forthcoming.

Financial instruments

They are specialized funding schemes co-financed by EU funds, the national budget and additional borrowings from the private and public sectors. They are aimed at projects that could potentially become self-sustaining, provide investment support through loans, guarantees or equity participation. In Bulgaria they are managed by the „Fund Manager of Financial Instruments in Bulgaria“ EAD. It contains the financial instruments of four of the operational programs, as of interest to the Bulgarian entrepreneur are:

 Under the Operational Program "Innovation and Competitiveness" 2014-2020:

- “Innovation Accelerator Bulgaria“ AD  Acceleration and Initial Funding Fund with a budget of BGN 30.5 million, aimed at innovative business ideas in the fields of healthcare, education, care for the elderly, transport and logistics, light industry, digitalization and etc.

- Venture Capital Fund New Vision 3 with a budget of BGN 53.4 million stimulates high-tech companies with a strong team and a proven business model.

- „Morningside Hill“ OOD Venture Capital Fund with a budget of BGN 67 million for investments in high-tech companies in the field of production of goods using new technologies that allow reducing unit costs; high technology, software and hardware; e-commerce; products or services introduced in other countries but not yet present in the region, etc.

Under the Operational Program "Human Resources Development" 2014-2020:

- Microcredit with shared risk - provided by three investment intermediaries - SiS Credit AD, „Microfund“ AD and First Investment Bank AD/ Fibank. The provided loans amount to BGN 5,000 to BGN 48,895, and the repayment period of the loans is up to 10 years with the possibility of a 2-year grace period and are used for acquisition of assets, working capital for development and expansion of the activity, training and others.

For starters: Venture capital and crowdfunding

The programs and financial instruments described above require a Bulgarian entrepreneur to have come a long way to take advantage of them - to have established business and experience in developing ideas and products, as well as sales already realized. However, if you have a brilliant idea and a strong team, you can contact various private venture capital funds and apply with a short but strong presentation.

You can also seek support from the countless internet crowd and attract crowdfunding on platforms such as kickstarter.com and indiegogo.com.

If you are interested in the topic, you can read this or visit the site crowd.bg or the cleantech.bg platform.

17.06.2020

Financing with BGN 5,000 and BGN 15,000 for tourist business projects from the North-West

From BGN 5,000 to BGN 15,000 will receive the best projects in a competition under the Tourism Development in Northwestern Bulgaria Program, announced by the America for Bulgaria Foundation. The competition is aimed at legal entities with a tourism profile, small and medium-sized businesses offering tourist products or services, national and nature parks, museums, galleries, community centers, NGOs and consortia of organizations.

The application deadline is July 15, 2020.

Projects must be completed within 2 years of the grant, and the applicant must provide a minimum of 20% of the total project funding.

The call is open to applicants from all over the country, but the project activities must be carried out in Northwestern Bulgaria, on the territory of at least one of the municipalities in the districts of Vidin, Vratsa or Montana. Projects of organizations operating in at least one municipality in the three districts will have priority.

With the Tourism Development in Northwestern Bulgaria Program, the America for Bulgaria Foundation seeks to create opportunities for the development of cultural and natural sites, to support local communities to improve their image and to offer their products on the tourist markets. The development of this type of tourism unites and breathes life into the communities and contributes to the development of the local economy, reads the The invitation to the competition.

17.06.2020

Bulgaria's largest trading partner in the Balkans is Romania

The obligatory quarantine for Bulgarian citizens entering Romania has already been abolished. The Romanian side has temporarily suspended the passage of people and cars at the border checkpoints adjacent to the Bulgarian Nikopol, Svishtov, Kaynardzha, Krushari and Kardam. Transit trucks can cross the Bulgarian-Romanian border only through the joint Ruse-Giurgiu border checkpoint and the Vidin-Calafat border checkpoint. Trucks transporting goods to and from Romania can also pass through other functioning points on the Bulgarian-Romanian border.

A total of 608 km of border separates Bulgaria and Romania - along the Danube and then through Dobrudzha. Two bridges connect the two sides - near Ruse and near Vidin.

Bulgaria's largest trading partner in the Balkans is Romania. In the last ten years, trade has been growing. And the best thing is that the trade balance is positive for Bulgaria. Last year, we exported products to our northern neighbor for 2.60 billion euros or an increase of 8.3%, and imports amounted to 2.41 billion euros - an increase of 9.2 percent. This also affects trade between the two countries, which increased by 8.7% to 5.01 billion euros.

Among the leading goods in exports are rods of iron or non-alloy steel, tractors, machines and devices for harvesting or threshing crops, medicines, corn, wheat and a mixture of wheat and rye, fertilizers.

Imports are dominated by petroleum oils and oils from bituminous minerals, sunflower seeds, even crushed, petroleum gas and other gaseous hydrocarbons, copper waste and scrap, flat-rolled products of iron or non-alloy steel and others.

Tourism is the most dynamically developing branch in the bilateral trade and economic relations in recent years. There is a great interest on the part of Romanian tourists in both the sea and mountain resorts of Bulgaria. And in the last four years, more than a million Romanian tourists are vacationing in Bulgaria. At the same time, Romania ranks among the first places as a preferred tourist destination by Bulgarian citizens. More than half a million Bulgarians visit Romania.

Many small and large companies operate in both countries through joint ventures or their own offices. Among the registered Romanian companies in Bulgaria are: Rompetrol - a chain of gas stations (over 30) and Petrom OMV; Polycolor - owner of Orgachim - Ruse, Romstal, E-mag, Ocean Fish - Verdana, TotalSoft, Budmax (Arabesque).

Among the Bulgarian companies in Romania are: "Prista Oil", "Bella Bulgaria", "Eurohold Bulgaria", "Kaolin", "Monbat", "Euroins", "Technomarket", "RBL Food", "Sis Industries", Fikosota and others.

We have invested EUR 186.3 million in Romania. This is logical given the closeness between the countries and therefore the low transport costs. Both the availability of raw materials and labor, as well as the large market of our northern neighbor Romania attract Bulgarian entrepreneurs.

16.06.2020

What do we need to know when starting an online business in Bulgaria?

In 2019, online sales worldwide were worth nearly $ 3.46 trillion. And this in turn is an 18% increase over the previous year.

In Bulgaria, e-commerce is growing even more - 30%, as more than 1.5 million Bulgarians have decided to make a purchase online.

And while more and more businesses are turning to online sales, lured by the ability to easily reach many potential customers, the question is: what does it take to do this business legally?

This article is aimed primarily at small and start-up businesses. We will look at a few key points related to online business, about which we often receive questions.

The announcement of online stores in the NRA system

It is good to know how to enter the market in the right way, so as not to create headaches with the institutions later.

Which stores should be announced? The answer is that if you are selling through a site that has a consumer basket functionality, the NRA requires you to register as an online store. On the other hand, if your site is just a kind of product catalog, without the option to order online, there is no need to register.

Registration is a purely technical matter. The required information includes data such as the name and domain of the store, standard information about the company, what type (by nomenclature) goods are sold. It is required to describe how the goods are sold - whether platforms such as "Amazon" or "eBay" are used, or the applicant has its own website.

Accordingly, it is important for the NRA to know how this site is maintained, where the databases are stored, what software is used for the platform, etc.

All this is declared before you start an activity. You can also personally register your store, for which you will need an active electronic signature as a merchant.

If at any time you change the platform, type of activity or products, or add something new, the changes must be declared within 7 days.

If you already have an online store, but have not yet registered, you better hurry to declare it to avoid negative consequences for institutions.

As with other types of business in Bulgaria, all income and expenses must be supported by tax documents. Invoices for expenses, fiscal notes from the cash register or issued invoices for income received by bank transfer - all this, together with the bank statements, is reported at the end of the year (or monthly, if you are registered under VAT) to obtain correctly calculated taxes to the budget.

When trading remotely

Another interesting point of the online business, which is often questioned, is related to distance trading. Global Internet connectivity means that businesses can much more easily (and cheaply) reach potential customers not only locally but also internationally. This has its advantages, but also additional factors that we must take into account.

First of all, it is leading where the goods are transported and where they go. It is important to monitor your turnover against local VAT thresholds to avoid violations of the relevant tax laws.

The marginal turnover for registration under the VAT Act is different for all countries. If your online business has an outlet in Germany, for example, you should know that if the turnover exceeds 100 thousand euros, you are subject to mandatory VAT registration.

In Bulgaria, the threshold for VAT registration is BGN 50,000. However, you may not know that this applies to a period of 12 consecutive months before the current one. A common confusion is that this turnover must be made for the calendar year - this is not true.

Ads on platforms like Facebook or Google

You register your online store, start selling and decide that you want to give an extra boost with a little paid advertising. While Facebook and Google are just free entertainment tools for billions of users, they are essentially two huge advertising platforms that earn billions by selling businesses highly targeted customer attention.

This is great for your online business, but when focusing on Facebook and Google advertising, you should know that your business will most likely need to be registered under the VAT Act.

We explain why - by advertising on their platforms, you actually receive a service from these companies. A special requirement under Article 97a of the VAT Act states that all recipients of this type of service who are not registered on a general basis under the VAT Act are obliged to register as such.

VAT registration for a start-up business sounds discouraging, but keep in mind that this is a special registration where there will be no value added tax on your sales. You will continue to monitor taxable turnover in accordance with the law (whether you do not pass the local thresholds), and you will not have VAT on sales. But you will charge VAT on the invoices you receive from these contractors (Facebook, Google).

Registration under the VAT Act would not be necessary if these technology giants issued their invoices to you from the United States. But since for Europe they operate from their specialized branches registered under the VAT Act in Ireland, the said Art. 97a is in force.

Please note that upon registration under Art. 97a you cannot use the accrued VAT for a tax credit. On the other hand, if your company is registered in the general order, you are in fact already charging VAT on these services (advertising invoices) and you are also entitled to a tax credit.

We emphasize this point, mainly because of start-up online retailers, who are often unaware of this requirement. It is good to inform this in due time to the accounting, as the registration under art. 97a must occur within 7 days before the first invoice.

Online business, like any other type of business, brings with it specifics that can be difficult to navigate in the beginning. Ask about anything you don't understand and don't hesitate to discuss your future business plans.

12.06.2020  

SEARCHED, SEEKERS ...

The labor market was literally overturned by the pandemic. Whereas before it, qualified candidates received many job offers when the labor market was booming, now millions are out of line and in line for the coveted job.

"The job market is facing serious challenges", said Vicki Salemi, a career development expert at Monster. "There are many job seekers at the moment and the influx is in many industries at once."

Sudden change and an uncertain economic climate can make it difficult for jobseekers to navigate the new job market.

Here are some tips on how to be more successful when applying for a job given the current situation, published by CNN Business:

  1. Update your curriculum vitae: Remember that your CV is not suitable for all types of positions. Customize your CV to match your job posting: Use the same words your employer uses when it comes to skills, experience, and title. This can increase your chances of choosing a job.
  2. Expand your network of contacts. Think about what you will be looking for as your next job and actively connect with people you think could help with connections and skills.
  3. See which positions are more in demand. There are industries in which employment is increasing. Do a survey to see which companies they hire, the sets of skills they are looking for and how your experience can transfer to meet their needs.
  4. Don't stop learning. Always take at least some time to learn new skills. This will help you keep your CV at a good level.
  5. Learn to sell yourself. When it comes to targeting potential employers, focus on your adaptability and confidence. Be prepared to share real-life examples that prove you have a business acumen.
  6. Don't hide that you lost a previous job. Once you receive an invitation from the company you have applied for, be transparent about your current job situation. Tell the truth. It's always better to admit and say something like, "Yes, the pandemic stopped working in the previous company, but I'm very interested in that position. I have these (X, Y, Z) skills that I know can to contribute to your organization.”
  7. Don't be afraid to negotiate. When you receive a job offer, review it thoroughly and if you are not satisfied with it, do not be afraid to negotiate better terms.

12.06.2020  

HOW TO REGISTER THROUGH THE COMPUTER AT THE LABOR OFFICE

You must submit an electronic application for unemployment benefits

The submission of applications for unemployment benefits electronically to the National Social Security Institute (NSSI) may contain several different technological steps.

Depending on the technical supply of the insured persons and their level of access to the systems, they must perform a certain set of actions in order to be able to complete the desired operation.

For holders of personal identification code (PIC) of NSSI

When they already have the NSSI PIC, the persons must visit the NSSI website, section "E-services/Administrative services" and after filling in and verification submit their application for unemployment benefits.

Before that with the Personal Identification Code they have to do (if they do not already have one) registration in the Secure electronic service system SESS of the State Agency for Electronic Government and through it submit their application for registration as unemployed in Employment Agency.

For those with a standard qualified electronic signature (QES)

When individuals have a standard QES (not cloud/mobile) recorded on a technical media, the steps are identical.

With the QES, they create a profile in SESS. Through it, they submit electronically an application for registration as unemployed with the Employment Agency, and then submit the application for granting unemployment benefits through the NSSI website (section "E-services/"Administrative services").

For persons who have neither a PIC nor a QES

If the persons do not have either a Personal Identification Code of the National Social Security Institute or the QES, the steps taken to submit their applications electronically are different.

First, they need to get a cloud/mobile qualified electronic signature (QES) issued by a certification service provider online. After installing it on their mobile phone, they register in the SESS of State Agency for Electronic Government and submit an application for registration as unemployed to the Employment Agency.

After that, through their newly created profile in SESS they submit an application to the NSSI for issuance of a Personal Identification Code (PIC). Passes a procedure for filing the application with the National Social Security Institute, issuing a Personal Identification Code, serving it through the SESS and activating, at the earliest on the next working day.

 

With the Personal Identification Code of the National Social Security Institute received through SESS, the actions already described follow - access to the electronic services on the institute's website, section "E-services/"Administrative services" and submission of an application for unemployment benefits to the National Social Security Institute.

All clients should know that the registration with the National Social Security Institute is not possible with a Personal Identification Code issued by the National Revenue Agency NRA.

Everyone who wants information or consultation on the topic of interest can contact the Consultancy Center for Disadvantaged People in Berkovitsa by phone 0890943741 or by e-mail: berkpro.robg@abv.bg

12.06.2020  

WHAT COMPENSATION DOES THE COMPANY OWE TO US IN THE EVENT OF A REDUCTION

The employer owes compensations to employee when he terminates the employment contract on the grounds of art. 328, para. 1, item 2 (reduction of the staff) or art. 328, para. 1, item 3 of the Labor Code (reduction of the volume of work).

On both grounds, the termination of the contract is with notice and if the employer does not comply with the notice, there is a right to compensation under Art. 220, para. 1 of the LC (for non-compliance with the notice).

In case of unemployment, as a result of the termination, a right to compensation arises under Art. 222, para. 1 of the LC.

The compensation is paid by the employer to the employee who has lost his/her job or started working after the termination with a lower salary.

The compensation is in the amount of the gross remuneration of the employee for the time during which he has lost his job, but for not more than 1 month.

An act of the Council of Ministers, a collective labor agreement or an employment contract may provide for compensation for a longer period. If within this period the employee has started working with a lower salary, he/she is entitled to the difference for the same period. By the order and under the conditions of art. 224 of the Labor Code, the employer owes compensation for unused paid annual leave.

If you are laid off under both articles of the law, you are entitled to full compensation from the Labor Office. It amounts to 60% of your average monthly salary for the last 24 months.

The sum of your last 24 salaries for the last 24 consecutive months is divided by 24 to get the average monthly salary.

This amount is then divided into 21 business days to find your average daily salary for that period.

For example - If you received a monthly salary of BGN 1,100.00 each month (including length of service, all insurances and tax), then for the last 24 months the amount of your salaries will be BGN 26,400, and your average monthly salary for the period - BGN 1,100.

Your average daily salary for this period will be: BGN 1,100. / 21 days = BGN 52.38

The daily unemployment benefit is 60% of your average daily wage (or your average daily insurance income, but not more than the maximum insurance income of BGN 3,000.00), on which contributions for the Unemployment Fund have been paid (or are due) for the last 24 calendar months preceding the month of termination of your insurance.

Everyone who wants information or consultation on the topic of interest can contact the Consultancy Center for Disadvantaged People in Berkovitsa by phone 0890943741 or by e-mail: berkpro.robg@abv.bg

11.06.2020  

FEATURES OF THE EMPLOYMENT CONTRACT WITH A TRIAL TERM

Concluding an employment contract with a probationary period is a common and widespread practice when starting a new job.

Its main feature is that during the probationary period, the party in whose favor (the employee, the employer or in favor of both parties) the term is agreed, may terminate the contract without notice until the expiration of the agreed term. It is clear and unambiguous enough to express it in writing.

It is not necessary for the party entitled to terminate the contract to be motivated in any way. Termination is not subject to appeal and consideration in the order of labor disputes.

During the probationary period, the employer may dismiss the employee while he is on statutory leave, e.g. sick leave, in which case the permission of the Labor Inspectorate or another body is not required.

The test period may be agreed in favor of:

- The employer - when the employer wants to check the ability of the employee to perform a certain job;

- The employee - when the employee wants to check whether the work is suitable for him/her, whether the working conditions, the atmosphere and the work team he/she likes;

- In favor of both parties. The contract shall specify in whose favor the trial period has been agreed. If this is not stated, the test period is considered to have been agreed in favor of both parties. This means that during the probationary period, both the employer and the employee may terminate the contract at their discretion.

The test period may not exceed 6 months. It does not include the time during which the employee has been on statutory leave (paid, unpaid, study, due to illness, etc.) or for other valid reasons has not performed the work for which the contract was concluded.

The law does not allow for the same work with the same employee in the same enterprise to be re-concluded employment contract with a probationary period. However, if the worker moves from one position to another, albeit in the same undertaking, it is permissible to conclude another employment contract between the same parties, with a different content and a test clause.

For example, such a case occurs when a secretary in a company moves to the position of accountant. It is important to note that during the trial period the parties have all the rights and obligations as in a final employment contract - the employee is entitled to a common basis for remuneration, agreed working hours, breaks and vacations, recognition of length of service and etc.

The employment contract is considered final if it is not terminated by the party in whose favor the probationary contract was.

 Reference: Art. 70, para. 1 - 5 of the Labor Code; Art. 71, para. 1, para. 2 of the Labor Code

Everyone who wants information or consultation on the topic of interest can contact the Consultancy Center for Disadvantaged People in Berkovitsa by phone 0890943741 or by e-mail: berkpro.robg@abv.bg

11.06.2020   

FORTHCOMING ANNOUNCEMENT OF PROCEDURE FOR SELECTION OF PROJECTS "SUPPORT OF MEDIUM ENTERPRISES FOR OVERCOMING THE ECONOMIC CONSEQUENCES OF THE COVID-19 PANDEMIC"

We remind you that (indicative date 12.06.2020) The Managing Authority of the Operational Program "Innovation and Competitiveness" 2014-2020 (MA of OPIC) will announce a selection procedure for projects "Support to medium-sized enterprises to overcome the economic consequences of the pandemic COVID-19" under Priority Axis 2 "Entrepreneurship and SME Growth Capacity", Investment Priority 2.2. "SME growth capacity".

The purpose of the procedure is to provide operating capital for Bulgarian medium-sized enterprises to deal with the consequences of the COVID-19 pandemic.

According to the draft terms of application, the minimum amount of the requested grant for an individual project is BGN 30,000, and the maximum amount of the requested grant for each individual project is BGN 100,000.

The grant awarded under the procedure may be up to a maximum of 1% of the "net sales revenue" for 2019.

The duration of implementation of each project should not exceed 3 (three) months from the date of entry into force of the administrative contract for the provision of grants.

Within the procedure, applicants may submit only one project proposal.

As a result of the implementation of the procedure, the supported enterprises are expected to continue their activities for at least 3 months after the completion of the project, as well as to have kept the employment from the levels before receiving the support.

By the date of submission of the project proposal, the applicants should have already submitted an Annual Tax Return for 2019 to the National Revenue Agency, in accordance with the provisions of CITA / PITA.

According to the draft conditions for application, eligible candidates are:

  • traders registered in accordance with the Commercial Act or the Cooperatives Act before 01.01.2019;
  • who meet the requirements for a medium-sized enterprise under the Small and Medium-sized Enterprises Act;
  • Candidates should have realized net sales revenues for 2019 in the amount of at least BGN 3,000,000, but not more than BGN 50,000,000;
  • Applicants who have registered a decrease of at least 20% in turnover (net sales revenue) for one of the calendar months in the period from 01.02.2020 to the month preceding the month of application compared to the average monthly turnover (net sales revenue) in 2019. To certify the value of the net sales revenues for the reference calendar month chosen by the applicant (in the period from 01.02.2020 to the month preceding the month of application) a presentation of the Income Statement for the respective month will be required;
  • As of December 31, 2019, the candidate company is not in a difficult situation.

Support for the procedure can not receive candidates who are:

- undertakings applying for financing an economic activity falling within the scope of Annex I to the Treaty establishing the European Community (Annex 5 to the Conditions for application);

- enterprises applying for financing activities for processing and/or marketing of forest products;

- enterprises applying for financing of economic activity, which according to NACE.BG 2008 (Appendix 6 to the Conditions for application) falls in Sector C - code of economic activity 10 “Production of food products” and code 11 “Production of beverages”.

- Support for the procedure cannot be received by applicants who are companies applying for financing economic activity in the fisheries and aquaculture sector, including processing of fish and aquatic organisms.

- Support under the procedure cannot be received by applicants who are enterprises applying for financing of economic activity falling within the financial sector (sector K "Financial and insurance activities" according to NACE.BG-2008).

Eligible under the procedure are the costs necessary to overcome the shortage of funds or lack of liquidity resulting from the COVID-19 epidemic, as follows:

 Expenses for purchase of raw materials and consumables intended for use in the activity for the purpose of production or services;

 Expenses for external services (incl. Overheads);

 Staff costs (including gross salary costs and costs for social security and health contributions at the expense of the employer). Remuneration costs are eligible for staff employed under an employment contract or under a management and control contract. The amount of expenses (including social security and health contributions at the expense of the employer) in respect of remuneration under management and control contracts must not exceed BGN 2,000 per month.

The procedure envisages fully electronic submission and evaluation of project proposals, which will be carried out through the Information System for Management and Monitoring of EU Funds in Bulgaria (UMIS 2020).

The deadline for submitting project proposals is 30 days from the date of announcing the procedure.

The Berkovitsa Consultancy Center helps the interested persons: by phone 0890943741 or by e-mail: berkpro.robg@abv.bg

10.06.2020  

THE FORMS OF SERVICE IN THE LABOR OFFICES ARE BEING RESTORED IN STAGES

The Employment Agency informs its current and future clients that some of the measures for the work of the Labor Offices, introduced during the state of emergency, are still in force. At the same time, from June, the temporarily suspended forms of service are gradually restored, including the present meetings with the labor intermediaries, the mobile labor offices and the group events with job seekers and job offers.

In this regard, the Employment Agency draws attention to the fact that the reception of clients in its offices will continue to be carried out in compliance with all restrictive measures for social distance. The ban on servicing citizens who have not complied with the mandatory 14-day quarantine period after return from countries for which this requirement has not been abolished, as well as those who do not have personal protective equipment, is in force.

Those wishing to register as unemployed, as well as to submit an application for unemployment benefits, can do so through the electronic and remote services of the Employment Agency and the National Social Security Institute. The submission of these applications can also be done on paper upon registration on site at the Labor Office. All ways and steps are described in detail here.

For registered jobseekers who have already visited the employment office and have an individual action plan, it is important to know that the established communication links with employment agencies to report and plan the steps of their plan will be combined so that a mandatory minimum every two months, jobseekers should visit the employment office. During the rest of the time, they will be able to continue to receive telephone consultations, as well as to receive by electronic means (through the secure electronic service system) referral letters to employers who have announced suitable vacancies for them.

Although the present forms for conducting selections, including group ones, are being restored, the possibility will continue for the unemployed to be directly sought by employers to whom the Labor Office has provided appropriate profiles for the announced vacancies.

Clients who have a personal e-mail address can also communicate with their employment agency through the application "Personal profile of a job seeker" to plan and report on the implementation of the agreed steps to search for a suitable job or training.

In June, all registered electronically or remotely unemployed persons who have not yet visited the employment office and have not submitted the required documents for education, qualification, etc., will be invited to appear at the office where they have registered for holding a meeting with the labor mediator and preparing their individual action plan. This will not apply in settlements with COVID-19 outbreaks.

In order to facilitate the registered unemployed, the Labor Offices will resume the provision of services in remote settlements through Mobile Labor Offices and outsourced jobs, after coordination with the local municipal leadership. The schedules for conducting Mobile Offices will be published on the website of the Employment Agency.

The holding of group events in the Labor Offices, aimed at professional counseling, support, motivation and job search, as well as job fairs, employer's days and other forms of direct meeting of employers and job candidates is gradually renewed. A schedule and up-to-date information on the planned and conducted job fairs and group events with jobseekers and job seekers will continue to be published on the website of the Employment Agency.

Employers can also continue to use the remote and electronic forms introduced during the state of emergency to advertise vacancies and select candidates for them. In addition, the rhythmic activity of mobile teams for working with key employers, as well as joint campaigns and information events will be gradually restored.

The Employment Agency draws the attention of employers in the agricultural sector that in the period of active work in this sector and the opportunities provided for concluding one-day and short-term employment contracts with unemployed persons, in their favor are the services of Labor Offices places they are looking for seasonal workers.

Unemployed people who enter into an employment contract for seasonal agricultural work need to notify the labor office, regardless of whether their employment contract is for 8, 6 or 4 hours, for a few days or for a few months. In this way, they will ensure the preservation of their rights, including monthly social benefits.

The Employment Agency calls on its clients to continue to be responsible for their own health and the health of others, but also to perform their duties to the employment office correctly so that they can exercise their rights and the opportunities provided.