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European SMEs comprise all types of firms ranging from one-person companies to co-operatives. Whilst some Small entreprises supply more or less conventional services or craft products, many others are fast growing high-tech companies. Despite their differences, though, Europe’s Small businesses share many challenges.

European Commission, Report on the results of the former consultation on a Small Business Act for Europe, in Spring 2008.

The facts show the amount of replies regarding the following issues:
Administrative and regulatory load: 140 replies,
Access to finance: ninety eight replies,
Taxation: 61 replies,
Lack of skills: 43 replies,
Access to public procurements: 41 replies,
Unfair/too robust competition: 22 replies,
Labour law: 22 replies,
Access to Single Market: seventeen replies,
Access to EU programmes: sixteen replies,
Late payments: 16 replies,
Access to international markets: 16 replies. If you are in this particular case, you need Website translation.
Access to info and advice: sixteen replies,
Instability world economy/energy costs: sixteen replies,
SME definition: 7 replies.

Making life easier for small business.
For most small and medium-sized enterprises, the administrative inconvenience is their primary problem. The cost of administrative actions for a small company can be up to ten times more than for a larger one making this duty disproportionately grave for sme. This is often why the European Commission has set itself two key goals:

First intention is to cut back the administrative load on companies by twenty five% before 2012 and to make sure that all further regulations affecting business is SME-friendly. To realize this objective, the Commission is simplifying and improving European legislation, and inspiring local and regional authorities to try to to the same at their levels.

Less and higher directive.
The EU Commission’s 2007 action programme to reduce administrative inconvenience by 25% has identified priority areas for action that target data obligations in areas like company law, employment relations, VAT and statistics. A number of these obligations have previously been voided.

For instance:
- European union firms now not need to make public business information in the national gazettes and they can (re-)use translations certified in one Member State when opening branches in other EU Member States.
- Member States should be allowed the option to exempt micro-enterprises from providing detailed information in their annual accounts.

A 25% reduction in the executive load on companies would transform into a rise of 1.5% in the EU’s GDP – amounting to about €150 billion. However, this may only be achieved by national, regional and local authorities acting along with the Commission. So way 18 Member States have set national targets for reducing administrative inconveniences.

Did you know?
Since 2005, the European Commission has:
A – Withdrawn seventy eight pending laws,
B – Simplified fifty four initiatives,
C – Identified two five hundred obsolete acts to be repealed.

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