Obtaining a grant for the production of furniture under the program for a processing enterprise

The processing industry is a key industry of any modern state. This is due to the fact that it includes various types of other industries, namely: food, textile, chemical, engineering, electronics, construction and many others.

In practice, these industries process a lot of raw materials and semi-finished products, which makes it possible to create final products for consumers. However, any processing enterprise usually requires significant financial investments, which is the main obstacle to its opening.

Therefore, if a citizen wants to create a new processing enterprise, he should attract additional financing by receiving funds from various grant programs. This shows the relevance of considering this topic today.

In this article, we will talk about the features of receiving a grant for the production of furniture under the program for a processing enterprise from the state.

What are the requirements for applying for the grant program?

• not to conduct business activities on the territory of the Russian Federation or the Republic of Belarus, including having any other economic ties;
• not to conduct any type of economic activity on the TOT of Ukraine;
• have an excellent business reputation and not be held liable for committing offenses related to corruption, the liability for which is provided for by the current norms of the Criminal Code of Ukraine;
• not to be on any sanction lists of various international organizations and states, as well as directly of Ukraine;
• do not intend to liquidate the enterprise or be at any other stage of bankruptcy of a legal entity;
• not be in arrears in tax and other payments to the state.

It should be noted that the right to apply for participation in the grant program can be submitted by citizens who are just planning to create their own processing enterprise, active individual entrepreneur and legal entities that meet all the above criteria.

What amount of grant money can be received?

The terms of the grant program envisage the possibility of receiving financing of up to 8 million hryvnias, however, the grant recipient is obliged to create at least 25 new jobs.

Do I need to repay the received funding under the program?

As a general rule, grant funding is provided on a non-refundable basis, so there is no need to return the funds. However, if the grantee does not create the required number of jobs, does not carry out economic activity within 3 years and does not pay taxes to the state, then he will be obliged to return the entire amount of funding received under the program.

Do I have to pay taxes on the grant funding received?

No, as the grants are not taxable. And that’s why you don’t need to pay taxes for the received financing.

What can I spend the received funding under the grant program on?

• for the purchase of basic tools and equipment needed for the operation of the processing enterprise (for example, technological equipment);
• for the commissioning of technological equipment;
• costs associated with the delivery of purchased technological equipment.

Pay attention! This grant program is perfect for those citizens who have long planned to create their own processing enterprise for the production of furniture, because this type of business perfectly fits the conditions of this grant.

Therefore, if you need additional financing to open a furniture manufacturing enterprise, it is possible to get it within the framework of the “Recycling Enterprise” grant program.

If you have any questions regarding this topic, in this case, be sure to contact the Prikhodko and Partners law firm.

Our lawyers have many years of experience in obtaining funding under various grant programs, and therefore we will be able to provide only effective legal assistance in your case. Don’t delay and apply!