The Role of Small Business in Lithuania. Support of Small Business in Lithuania and Abroad.
VILNIUS GEDIMINAS TECHNICAL UNIVERSITY
FACULTY OF BUSINESS MANAGEMENT DEPARTMENT OF ECONOMICS AND MANAGEMENT OF ENTERPRISE The role of small business in Lithuania. Support of small business in Lithuania and abroad.
Vilnius, 2011 Content
1. Introduction 4
2. Small business in Lithuania 5 2.1 Definition of what is small and medium business? 5 2.2 Role of small and medium business in Lithuania. Its place in Lithuania‘s economies statistics 5 2.4 The main requirements for getting financing in Lithuania: number of employees, size of turnover 7
3. Financing small and medium business in Lithuania. Searching for the cheapest way 8 3.1 Financing business in commercial banks 8 3.1.1 Typical services in Lithuania’s commercial banks. Searching for cheapest 8 3.1.2 Comparing government guarantees and its conditions for loans in Lithuania and UK 14 3.1.3 Searching for special offers in commercial banks 17 3.2 The cheaper alternatives of SME’s financing: Business Angels, trade credit, venture capital 20
4. Financing small and medium business abroad. Finding cheaper ways 23 4.1 Comparing New Zealand’s and Lithuania’s government and banks role in helping small business 23 4.1.1 Grants in New Zealand 24 4.1.2 Commercial Banks in New Zealand vs. commercial banks in Lithuania 26
5. Conclusions 27
6. References 29
1. Introduction
I have chosen topic “Small and medium business financing in Lithuania and abroad” because I think that for me, future manager it is really important. Before writing and searching information I thought that it is not so difficult to get credit if you want to start your business. In my coursework I will present the different ways of financing your business and also to prove that it is really difficult to get it, especially if you are new in business area. I will do that by showing how many documents, how many rules and requirements had to be fulfilled if you want to get a
FACULTY OF BUSINESS MANAGEMENT DEPARTMENT OF ECONOMICS AND MANAGEMENT OF ENTERPRISE The role of small business in Lithuania. Support of small business in Lithuania and abroad.
Vilnius, 2011 Content
1. Introduction 4
2. Small business in Lithuania 5 2.1 Definition of what is small and medium business? 5 2.2 Role of small and medium business in Lithuania. Its place in Lithuania‘s economies statistics 5 2.4 The main requirements for getting financing in Lithuania: number of employees, size of turnover 7
3. Financing small and medium business in Lithuania. Searching for the cheapest way 8 3.1 Financing business in commercial banks 8 3.1.1 Typical services in Lithuania’s commercial banks. Searching for cheapest 8 3.1.2 Comparing government guarantees and its conditions for loans in Lithuania and UK 14 3.1.3 Searching for special offers in commercial banks 17 3.2 The cheaper alternatives of SME’s financing: Business Angels, trade credit, venture capital 20
4. Financing small and medium business abroad. Finding cheaper ways 23 4.1 Comparing New Zealand’s and Lithuania’s government and banks role in helping small business 23 4.1.1 Grants in New Zealand 24 4.1.2 Commercial Banks in New Zealand vs. commercial banks in Lithuania 26
5. Conclusions 27
6. References 29
1. Introduction
I have chosen topic “Small and medium business financing in Lithuania and abroad” because I think that for me, future manager it is really important. Before writing and searching information I thought that it is not so difficult to get credit if you want to start your business. In my coursework I will present the different ways of financing your business and also to prove that it is really difficult to get it, especially if you are new in business area. I will do that by showing how many documents, how many rules and requirements had to be fulfilled if you want to get a
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