1. SME Development National Center of Armenia
Karen Gevorgyan
SME Development National Center of Armenia
Deputy Executive Director
BINet Regional Coordinator

2. “Small and Medium Entrepreneurship Development National Center” Fund (SME DNC of Armenia) was established by the decree of the Government of Armenia in 2002.
SME DNC of Armenia is the first national structure in Armenia called to implement state support to small and medium entrepreneurship (SME) and programs directed to development of the sector, as well as to ensure a dialogue between small and medium enterprises, government and other structures.
The Board of Trustees is the supreme governing body of the SME DNC of Armenia, the members of which represent several government structures and NGOs advocating the interests of SMEs. The Board is headed by the Minister of Economy.

3. Regional network of the SME DNC of Armenia
10 regional branch offices
3 representative offices

4. SME support directions
Information & Consulting
Training (Start-up business support program)
Financial Support
Local Economic Development
Building of Industrial Systems
Business Internationalization (EEN Activities)

5. Information & Consulting
Awareness raising of SMEs on business legislation and recent changes
Taxation issues and customs procedures
Licensing, Standardization, Certification
Financial Management and Accounting
Business Manuals, Guides, Reference books

6. Goals and Objectives: Start-up Business Support Program
establishment of new SMEs and workplaces in the marzes of Armenia,
Support in realization of new business initiatives,
upgrading business knowledge and skills of start-ups,
facilitating access to finance.

7. Competency based Economies through Formation of Enterprises
CEFE
Competency based Economies through Formation of Enterprises

8. WHY CEFE OR WHAT IS CEFE?
CEFE is a comprehensive set of training instruments using an action-oriented approach and experiential learning methods to develop and enhance the business management and personal competencies of a wide range of target groups, mostly in the context of income and employment generation and economic development. CEFE has proven to be a very successful approach for promotion of small and medium enterprises, employment, income and economic growth. It has been introduced in 150 countries during the last twenty years.
Irrespective of educational background, knowledge and experience, entrepreneurs can obtain the necessary knowledge and develop their entrepreneurial skills
CEFE widely employs adult training methods and tools.
CEFE method encourages combination of entrepreneurial training course with delivery of consultancy and financial services

9. Program Phases Selection of participants and group formation
Decision making on CEFE organization
Preparatory stage
Presentation and evaluation of Business Plans
Financial Support
Main training
Coaching:
Brain pools
Monitoring and evaluation

10. Main topics Business idea development Marketing Management
Production planning & net cost calculation
Financial planning & cash flows
How to register a legal entity in Armenian
Basic Accounting
Tax Legislation
Duration is 80 hours
As a result of the training business ideas turn to realistic and sustainable business plans

11. FINANCIAL SUPPORT
Credit Amount
Maximum 5 mln AMD , equivalent to USD
Annual interest rate
10%
Duration
Maximum 5 years
Collateral
100% Guarantee provided by SME DNC of Armenia
Target group
Start-up businessmen
Participants presenting most realistic business plans get financial support and remain under the support umbrella of the SME DNC of Armenia on the way of their growth and development

12. Financial Support Loan Guarantees to operating SMEs
Loan Guarantees to start-ups and operating SMEs
Main priorities:
SMEs operating in manufacturing and services sectors SMEs
SMEs operating in the regions with low level of economic activity (close to the border and countryside settlements, disaster zone, former industrial and scientific sites)
Import substituting, exporting SMEs and those with export potential
SMEs introducing and using new technologies and innovations
Loan Guarantees to operating SMEs
Maximum Duration – 5 years
Guarantee - up to 70% of loan amount, but not more than 15 mln AMD ( USD)

13. Local Economic Development
Economic mapping of the communities
PACA exercises
Identification and support in implementation of reviled economic initiatives

14. Building of Industrial Systems
Development and Introduction of Replicable Business Models
“Support to Dried Fruit Production”
Selection of Potential Regions for the Program
Identification of Project Beneficiaries
Identification and Selection of Technologists
Developing Quality Standards, Technological/Business Models, Homogenous Standards, Fruit-drying Manuals

15. Business Trainings for Beneficiaries
Technological Trainings for Beneficiaries
Financing
Equipment and Infrastructure Set Up
Access to Market
Continuous Monitoring

16. Business Internationalization
Enterprise Europe Network
Business Cooperation Center in Armenia since 2008

17. Enterprise Europe Network

18. Objectives of the Network
To raise the awareness of European SMEs on business environment of Armenia and partnership opportunities.
Upgrading knowledge and business skills of Armenian SMEs for doing business in European Single market.
Development of internationally competitive SMEs and to increase the trans-national cooperation opportunities of SMEs by provision of business internationalization and innovation support.
Development of the research and innovation capacities of Armenian SMEs, fostering trans-national technological cooperation.

19. Thank You For Your Attention
Fund “Small and Medium Entrepreneurship
Development National Center of Armenia”
Tel.: (374 10)
Fax: (374 10) ,
URL: