The measure is presented with two more lines of aid, totalling almost six million euros aimed at strengthening self-employment policies and which may be requested from February 2022.
In total, the policies to support entrepreneurship will reach 1,137 self-employed people.
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The Govern presented today three lines of support for entrepreneurship, among which there is a second chance program that will be carried out for the first time in the Balearic Islands and aims to facilitate the return to self-employment to about 400 people.
These aids, with a budget of almost six million euros, want to provide real support to self-employment, which has been affected by the adverse economic and social effects caused by the COVID-19, which has especially punished the group of self-employed.
Armengol has celebrated the launching of these calls “to help self-employment in the Balearic Islands”, especially the second chance line “which is the first time it is carried out in this community and has been highly demanded both by different social and economic agents and by political forces”.
In this sense, the President thanked the parties that are part of the Reactivation Pact for their presence and their willingness to “add and contribute positively, not to turn a blind eye to the complex situation that this society is going through”. The social dialogue and “this way of agreeing”, said Armengol, “has made it possible for the economic data to place us in an economic growth six times higher than the state average”.
The programs, which will be implemented by the Department of Economic Model, Tourism and Labor, through the Directorate General for Economic Promotion, Entrepreneurship and Social and Circular Economy, will be financed with the Next Generation EU Reactivation and Resilience Mechanism and with funds from the Ministry of Labor.
In total, the programs incorporate three lines of aid grouped in two calls for proposals, with which the aim is to reach 1,137 self-employed workers. This December, the bases for the aid will be published, so that they can start to be applied for as of February 1, 2022. The measures presented today are a preview of the future Self-Employment Plan 2022-2025, which will be approved during the first quarter of 2022.
Second Chance Program
The first call, which will be implemented for the first time in the Balearic Islands, is the so-called Second Chance Program. The purpose of this action is to provide a second opportunity to self-employed workers who have not been successful in their first experience as such, and facilitates the return to self-employment with aid of up to a maximum of €5,000 for self-employed workers who are entitled to receive the benefit for termination of activity or have exhausted it.
This call aims to reach approximately 400 people with a budget of 1.9 million euros and has two subsidy lines. The first phase consists of financial assistance (from €1,500 to €2,000) for the beneficiary, conditional upon participation in a personalized itinerary of reentry or occupation, receiving counselling and, if appropriate, training for the return to the labour market.
A second phase will allow the beneficiary who decides to start up again to receive aid of €3,000 when he/she registers again as a self-employed or self-employed worker in the corresponding Social Security regime.
Self-Employment Program
The second call is aimed at promoting self-employment from the beginning of the activity. This year, a new call for aid has been opened to promote new self-employment activities and to reinforce, as the case may be, the survival with a refocusing of the activity. Therefore, the call is divided into two lines of action:
- INICIA line. It is aimed at unemployed people registered in the SOIB before the start of the activity that, among other requirements, have not been registered as self-employed at least during the year prior to the start of the activity. They must be registered in the census of entrepreneurs of the AEAT, they must have gone through a previous training, designed by the IDI, and they must have elaborated a business plan according to the model available in the IDI.
The main novelty with respect to other editions is that the election period is retroactive (from March 14, 2020, to May 31, 2022). Thus, all self-employed workers who have started their project during the pandemic months will be eligible for these grants, provided that they comply with the rest of the requirements of the call.
- CONSOLIDA Line. Aimed at strengthening businesses that are already in operation but which, due to various circumstances, need a new impulse.
For this reason, three aid scenarios are envisaged, specified in the following actions:
2.1. To reorient self-employment projects to achieve greater economic viability.
2.2. To encourage the person in charge of the self-employment project to hire a first worker.
2.3. To favour the labour insertion of self-employed collaborators, to facilitate the entry of family members into the self-employed business.
The program of support to self-employment has a budget of 3,900,000 Euros, which will be divided between the two lines (2.9 million Euros for the Inicia line and one million Euros for the Consolida line) and which will serve to reach 700 people.