THE NEW LAW FOR SPANISH ENTREPRENEURS, WHAT DO THEY THINK?

After asking entrepreneurs if they think that in Spain entrepreneurship is enhanced, the answer leaves no doubt: 92%[1] believe that in Spain entrepreneurship is enhanced little or nothing. This data is already remarkable but it gains even more significance when it is considered that in 2011 this percentage was "only" the 81.5%.

Trying to remedy this situation, the program presented by the Partido Popular in the last general election collected measures to help company owners and promote entrepreneurship. The most important measure was the new law of entrepreneurship.

Now, let us ask to entrepreneurs if they know the law and what key issues would affect.

According to the survey of the Observatory of entrepreneurial climate, 51% of self-employed and 45% of business entrepreneurs do not know or have not heard of the new law for entrepreneurs:

Source: Report of the Observatory of the entrepreneurial climate. Iniciador Foundation, http://iniciador.com/

The following table shows the key features that, in the opinion of respondents, should be regulated in the new law for entrepreneurs:

KEY  FEATURES FOR THE NEW LAW FOR ENTREPRENEURS	SELF-EMPLOYED	SMEs OWNERS
Funding aids	40	43
Expanding tax incentives	24	21
Simplifying the procedures for business creation	16	17
Assisting in training new entrepreneurs	14	9
Facilitating the recruitment of youth, women and disabled	6	10
TOTAL	100	100

With regard to improving funding aids, the most desired measures by the entrepreneurs are allowing to fully invest unemployment benefits and motivating the business angels with tax benefits.

Reducing social security contributions during the launch of the company is one of the most demanded fiscal measures by entrepreneurs: 38% of the views of respondents. Delaying the payment of VAT on receivable bills (30 %) and expanding tax incentives for small companies (28%) are examples of their demands.

In this sense, the announcements made by the government seem to confirm its intention to reduce the contributions of entrepreneurs to Social Security during the first months of life of the company, as well as delay VAT payments on receivable bills.

Certainly, they are measures that will be well received by our entrepreneurs. From the project ENTANGLE we want to applaud them because we welcome any incentive to entrepreneurship.

Miguel Delgado CETEI - Joan XXIII Foundation.

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[1] Source: Report of the Observatory of the entrepreneurial climate. Iniciador Foundation, http://iniciador.com/