What to look for when completing the application for a subsidy from PUP?
Starting your own business is an idea that requires some capital to be invested. Not every future entrepreneur has funds set aside for this purpose, and those who start from scratch often look for alternative forms of financing their business, at least in the initial phase of its operation. One of the options that can be used by the owner of the emerging company is a subsidy from the Poviat Labor Office (PUP). The basic condition is to register as unemployed with the competent employment office and then submit an appropriate application. Good preparation of this document may affect the future of a given company, because subsidies are granted until the funds are exhausted, and as you know - the competition is awake. What to pay special attention to when completing the grant application?
Before completing the application
Even before completing the application, the future entrepreneur should meet several important conditions. These include:
- having the status of an unemployed person, which is associated with the need to register with the PUP as such a person,
- waiting 3 months from registration (in the case of some offices it is possible to shorten the waiting period to 1 month),
- not studying full-time (extramural studies are allowed),
- not conducting business activity within 12 months before submitting the application,
- no offers of employment, internship or apprenticeship in the period of 12 months before submitting the application - a person applying for a subsidy from PUP cannot reject such an offer earlier,
- early criminal record - in the period of 2 years from the date of submitting the application, the unemployed person may not have any offenses against economic turnover,
- no earlier support - an applicant for a subsidy from PUP may not, within 5 years from the date of submitting the application, obtain any other type of support for setting up a business or agricultural activity.
Only after making sure that the above-mentioned conditions, a person intending to start their own business may proceed to fill out the application.
Should the grant application contain a business plan?
A standard application for a business start-up subsidy submitted to PUP consists of several parts:
- regarding information about the applicant,
- regarding the amount requested and the method of its use,
- concerning the planned project,
- specification of the required attachments.
Among all these parts, the most important is the one concerning the planned undertaking, because it is on this basis that the investment will be assessed. It can be prepared in the form of a business plan, and if the office requires a different one, then such a document can be included in the attachments.
This is very important, because when assessing the application, officials pay special attention to the innovation of the idea, its economic analysis, characteristics and strengths and weaknesses, the type of planned purchases, and having appropriate education or experience.
A business plan is particularly important in a situation where the applicant does not have, for example, an education corresponding to the company's profile or any own contribution. In addition, it comes in handy in the next steps right after receiving the grant - when the new entrepreneur is still a bit lost and confused. Moreover, a business plan should be structured in such a way that the company can sustain itself for at least 12 months, otherwise even if a subsidy is received, it may be taken away from it.
Typically, the business plan is inside the application. However, there are situations where there is not enough space to present a business plan, then it is attached in a separate annex.
The issue of own contribution
Due to the fact that people who do not have unnecessary funds apply for the subsidy, own contribution is not required. However, despite this, offices pay attention to whether the future entrepreneur has shown any contribution in the application, so it is worth having at least a symbolic amount of money.
Demonstrating own contribution is a signal to the office that the applicant is serious about the matter and that he believes in what he is doing. In addition, it is worth noting that the pool of subsidies cannot finance current activities related to the payment of social security contributions, telephone subscriptions, etc. Such expenses should be covered from your own pocket and in such a situation your own contribution may turn out to be necessary.
It is best if the person applying for a subsidy from the PUP has had specific education corresponding to the company's profile. In this case, all diplomas, certificates and references that confirm knowledge and experience should be attached.
The truth is, however, that an entrepreneur cannot know everything. If, as part of the assumed activity, he is to provide copywriting services, he does not necessarily have to be familiar with accounting. In such a situation, it is enough to indicate in the business plan that it will employ a suitable person to perform this type of activity.
People without adequate experience and education should not get discouraged. If the business idea is interesting and realistic, and the business plan includes information on, for example, self-development of the entrepreneur, there should be no problem with obtaining a subsidy.
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The future entrepreneur does not have to declare that after setting up a business, he will hire employees. However, offices also pay special attention to this. Why? Well, PUP, giving a subsidy to a person who assured the office that it will create new jobs, thus fights unemployment - it is better to transfer the subsidy to a person who will employ several more people than to a single person who will not provide any vacancies.
Filling in the application for a subsidy from PUP is not very difficult, but you need to pay attention to certain points that may affect the decision of the office. Therefore, before starting to fill in the application, think carefully about each case and choose the option that turns out to be the most advantageous.
By showing a minimum of your wits, you can increase your chances of getting a donation. For example - the person who submits the application has no experience, and as you know, after registering with the office as an unemployed person, he must wait three months to be able to apply for a subsidy. However, this time can be used well - it is worth taking advantage of the internships proposed by PUP - in this way you gain experience, and additionally you collect a small amount of money for the three-month internship. During this time, you can also observe how industry companies operate, gain knowledge about future customers and establish new contacts that are valuable in business.
When completing the application, it is extremely important to read the regulations of a given employment office, because each office indicates its preferences as to the content of the application. In addition, it is best to apply for a subsidy at the beginning of the year, because then offices receive funds for this purpose. However, at the end of the year, there may not be enough funds for subsidies.