Business environment
in the perspective of entrepreneurs of Aloja municipality
Baiba Birzgale Business consultant Aloja Municipality council baiba.birzgale@aloja.lv www.aloja.lv Aloja March 27, 2015
Business environment in the perspective of entrepreneurs of Aloja - - PowerPoint PPT Presentation
Business environment in the perspective of entrepreneurs of Aloja municipality Baiba Birzgale Business consultant Aloja Municipality council baiba.birzgale@aloja.lv www.aloja.lv Aloja March 27, 2015 Aloja municipality consists of:
Baiba Birzgale Business consultant Aloja Municipality council baiba.birzgale@aloja.lv www.aloja.lv Aloja March 27, 2015
Aloja town and parish Staicele town and parish Brīvzemnieku parish Braslavas parish
Area: 626.59 km2
Population: 5536 (as of 01.01.2015.)
Type 2011 2012 2013 2014 2015 TOTAL
CURRENTLY
Entities 22 14 12 18 8 74 478
Sole Proprietorship (SP) 3 1 4 18 Individual enterprise (IE) 21 Limited Liability Company(LLC) 18 14 12 15 8 67 144 Cooperative society (SC) 9 Farm 1 2 3 286
Organisations 6 4 1 6 17 54
Congregration (new) (CONGN) 1 Congregation (CONG) 3 Society (SOC) 4 3 1 5 13 46 Foundation (FND) 2 1 1 4 4
Total 28 18 13 24 8 91 532 Source: Lursoft 2015,ER
Statistical data on the number of companies registered on yearly basis (in Register of Enterprises of Latvia) Reg.- registered; Liq.-liquidated
Source: Lursoft 2015, ER
Years Number of enterprises
Reg. Reg. Reg. Reg. Reg. Liq. Liq. Liq. Liq. Liq.
Source: Lursoft 2015,ER
Enterprises in Aloja municipality in accordance to legal forms of entrepreneurship
Sole Proprietorship (SP) Limited Liability Company (LLC) Farm Individual enterprise (IE) Cooperative society (SC)
Source: CSB 2015, ER
related activities - 272;
Source: LURSOFT 2015, ER
period from 29.12.2014. till 6.02.2015.
Enterprises 2 2 1 1 1 1 2 1 2 2 Foundation year 1992 1994 1995 2003 2004 2005 2007 2008 2012 2014
Entrepreneurs of Aloja town 6 Entrepreneurs of Aloja parish3 Entrepreneurs of Staicele parish 1 Entrepreneurs of Braslava parish 2 Entrepreneurs of Brīvzemnieku parish 1 Entrepreneurs of Aloja municipality 2
Number of employees in the enterprise
Number of enterprises Number of employees
− − −
−
Forms of Respondent enterprises
LLC Farms Self-employed
Problems associated with foundation of an enterprise
No problems Legislation Lack of resources Lack of information on entity foundation Lack of entrepreneurial skills Lack of financial recourses, funding Bureaucracy
Number of enterprises
73% of respondents assess their business development
Business development opportunities in municipality
Very good Good Moderate Bad Very bad No opinion
47% of enterprises have incresed their profits
Remained stable
Decreased Remained stable
hIncreased Decreased Remained stable
hIncreased Decreased
Over the past two years in the company...
Number
employees
Turnover Profit
Number of enterprises
66% of entereneurs plan to increase the Nr of employees; 80% do not plan to narrow down the entity’s operations; 66% plan to expand the entity’s opeartions
No opinion No Yes No opinion No Yes No opinion No Yes No opinion No Yes No opinion No Yes
In the next 3 years the entrepreneurs plan to...
Reduce the Nr
employe es Increase the Nr of employe es Narrow down the entities
ns Maintain entities
s at current level Expand entity’s
Number of enterprises
municipality in the following 3 years period;
municipality in the following 3 years period;
It is very important to set up the investment object database!
enterprises:
enterprises.
Main obstacles that hinder the development of enterprises in Aloja municipality :
lack of qualified labour bad infrastructure, mainly roads small number of population, low purchasing power lack of premises and land no common strategy for the business support in the municipality
insufficient exchange of information between local government and entrepreneurs
The main factors required for the enterprise’s growth
Availability of land and buildings Motivated and qualified labour Availability of financial resources Tax incentives Increase in the customer number Modernization Equal competition
Activities that definitely need to be carried out in Aloja municipality Entrepreneurs
Engage entrepreneurs in territory improvement activities Organise specialist consultations for entrepreneurs Organise grant competition for new entrepreneurs Organise entrepreneur days, business awards ceremonies Organise seminars, discussions for new entrepreneurs Facilitate the information flow from the municipality Provide information on fundraising activities
Promote language learning
Create an advertising campaign, a video about the region, entrepreneurs
Involve local producers in tourism routes Recommendations for Aloja monicipality council Organize seminars, discussions, study visits Establish a business incubator
Encourage residents to activities that can create new working-places
Ensure the availability
advice
Promote local companies, their production in webpage and elsewhere
Financial consultant Tax consultant Lawyer Marketing consultant Engineering specialists Project Manager Consultations on EU fund attraction Entrepreneurs need consultations in:
Economic specialization in Aloja municipality consists of
Timber processing Food production Agriculture
Entrepreneurs need seminars, lectures on.. ES funding Business support institutions and programs Taxes Business plan and marketing strategy development Sales promotion Marketing and branding Human resource management
Entrepreneurs as fundraising tools most commonly use... ES structural funds 67% Commercial long-term loans 40% Subsidies 27% Private investors 27% Leasing company services 27% Commercial short-term loans 13%
Infrastructure that is required for the development of enterprises, but is not available
Everything is available Land offers Access-roads and communications Industrial areas Telecommunication and IT Power supply Solid waste management Water supply, sewerage Building, premises supply Motorways
Infrastructure Enterprises
Baiba Birzgale Business consultant Alojas Municipality council Phone: 0037125749131 baiba.birzgale@aloja.lv