Act No. 47 / 2002 Coll.

Act on the promotion of small and medium-sized enterprises and amending Act No. 2 / 1969 Coll., on the Establishment of Ministries and other Central Authorities of the Czech Republic, as amended

Valid Law Effective from 01.01.2003
47
THE LAW
of 11 January 2002
on the promotion of small and medium-sized enterprises and amending Act No. 2 / 1969 Coll., on the establishment of ministries and other central bodies of the government of the Czech Republic, as amended
Parliament has decided on this law of the Czech Republic:

ČÁST PRVNÍ

AID FOR SMALL AND MEDIUM-SIZED ENTERPRISES
§ 1
Subject matter
(1) That Law lays down the principles governing the granting of aid at the start of a business as well as the strengthening of the economic position of small and medium-sized enterprises ("the aid ').
(2) The aid applicant must be resident or established in the Czech Republic.
(3) This law does not apply to aid granted to agricultural and forestry primary production.
§ 2
Small and medium-sized entrepreneurs
For the purposes of this Act, a small and medium-sized entrepreneur shall be regarded as a small and medium-sized entrepreneur who fulfils the criteria laid down in the directly applicable European Communities Regulation. 1)
§ 3
Areas of aid
Aid may be granted for:
(a) investment projects;
(b) education and training in secondary school education programmes completed by a certificate;
(c) increasing adult expertise;
(d) economic and technical advice;
(e) projects by associations for the development of small and medium-sized entrepreneurs and to strengthen their market position;
(f) acquisition of business information;
(g) research and development projects, the results of which SMEs benefit,
(h) projects in regions with concentrated State support and other regions whose State support is desirable for other reasons;
(i) creating new jobs;
j) establishing contacts and cooperation with foreign partners and participating in national and foreign exhibitions and fairs;
(k) the introduction of systems to improve the quality of the production and management of enterprises and the use of services to promote competitiveness;
(l) projects aimed at investments related to environmental protection, the provision of technical information and advisory services or selected operating costs for environmental protection activities.
§ 4
(1) The granting of aid must comply with the rules governing the granting of public aid. (3) There is no legal claim for aid under this Act.
(2) Aid is granted in the form of:
(a) repayable financial assistance;
(b) subsidies for services or services at a discounted price;
(c) the financial contribution;
(d) guarantees; or
(e) credit at a reduced interest rate.
(3) The aid provided for in paragraph 2 may be used only for the purposes laid down by this Law and for the purposes laid down by the aid schemes approved by the Government under this Act (§ 6).
§ 4a
(1) The CzechInvest Enterprise and Investment Support Agency (hereinafter referred to as "the Agency") is hereby established as a state-owned contribution organisation. The Agency shall have the right to manage the property of the State and shall be governed by special laws in its activities. 3a) The Agency is subordinate to the Ministry of Industry and Trade (hereinafter referred to as the Ministry).
(2) The statutory body of the Agency shall be the Director-General appointed and removed by the Minister for Industry and Trade. The closer conditions of the Agency's activities and its organisational arrangements shall be laid down in the Statute approved by the Minister for Industry and Trade.
(3) The Agency shall carry out business support tasks by:
(a) provide support to small and medium-sized enterprises under this Act;
(b) provide support to entrepreneurs on the basis of programmes approved by the Government under a special law, 3b)
(c) perform the function of designated organisation in providing investment incentives under the Special Act, 3c)
(d) carry out other business support tasks.
§ 4b
(1) A state contribution organisation of the Agency for Enterprise and Innovation, based in Prague, is hereby established.
(2) The Agency for Entrepreneurship and Innovation carries out the activities of an intermediate body to provide support to entrepreneurs from European Union funds under the directly applicable European Union Regulation (6).
(3) The Director-General is Head of the Enterprise and Innovation Agency; the provisions of the Civil Service Act on the selection, appointment and removal of the Head of Staff in another administrative office shall apply mutatis mutandis.
(4) The Civil Service Act shall apply to employees of the Agency for Enterprise and Innovation who carry out the activities referred to in Section 5 (1) of the Civil Service Act.
(5) The Agency for Entrepreneurship and Innovation is considered a service office. The Director-General shall be regarded as Head of the Office and the Staff Authority.
(6) The Ministry is the Chief Staff Office of the Agency for Enterprise and Innovation.
§ 5
(1) The State budget funds intended to finance aid under this Act are concentrated in the budget chapter of the Ministry, which can provide funding for financing aid from other sources.
(2) Aid
(a) the Ministry, the Czech Agency for Business Promotion CzechTrade, established by the Ministry, the Agency for Enterprise and Innovation and the Agency, in the form set out in Article 4 (2) (a) and (b). To this end, these entities, if they are not an organisational component of the State, will set up accounts for the benefit of the Czech Republic with the bank that holds their account and provide support under a written agreement concluded with the Ministry; the agreement must include the terms and conditions for the use of State budget funds, according to individual support programmes, the way in which they are paid to the beneficiaries of the aid, the principles of handling these funds on the bank's accounts, the rules for clearing them with the State budget,
(b) National Development Bank, a.s. (hereinafter referred to as "the Bank"), in the form referred to in § 4 (2) (c) to (e), by means of a state budget concentrated on accounts opened by the Bank for the benefit of the Czech Republic. The aid is granted by the Bank on the basis of a written agreement concluded with the Ministry; the agreement shall contain the conditions referred to in point (a) mutatis mutandis, and the determination of the remuneration of the bank for the services provided, including a reasonable profit (hereinafter referred to as "aid providers').
(3) The Ministry shall ensure that the deposits of State budget funds are not made in the bank's accounts that are disproportionate to the liabilities due.
(4) The funds intended to finance the aid shall be considered to have been drawn from the date of conclusion of the contract with the beneficiary for the purposes of their settlement with the State budget implemented by the Bank, to the extent of the entire agreed commitment to pay them.
(5) The beneficiary may be small and medium-sized enterprises, subject to the conditions laid down in this Law; for the aid provided for in Article 3 (e), the aid may also be the beneficiary of an SME association which is a legal person; for the aid referred to in Article 3 (f), the beneficiaries may also be persons preparing for business.
§ 6
(1) The details of the granting of the aid are contained in the support programmes approved by the Government on a proposal from the Ministry (hereinafter referred to as "the promoter of the aid programme '). The publication of the support programme shall be carried out by the promoter of the support programme in the Commercial Journal and at his address in the publicly available information system (Internet).
(2) The aid programmes contain:
(a) the name of the applicant for the support programme;
(b) the name of the body receiving the aid applications as well as the body carrying out the evaluation and selection;
(c) the name of the aid provider;
(d) the object and purpose of the aid;
(e) the definition of beneficiaries;
(f) the areas of aid, the details and the form of its provision and the manner in which it is used;
(g) the definition of the individual forms of aid for a single project;
(h) the details of the application for aid and the manner in which it is submitted and dealt with;
(i) the duration of the support programme.
§ 7
(1) The aid application shall be submitted to the body referred to in the relevant support programme.
(2) Aid in the form referred to in Article 4 (2) (a) and (b) shall be granted on the basis of decisions of the aid provider (4).
(3) Aid in the form referred to in Article 4 (2) (c) to (e) is granted under a contract between the aid provider and the beneficiary.
(4) The decision referred to in paragraph 2 and the contract referred to in paragraph 3 shall specify in particular the beneficiary of the aid, the purpose, the amount and conditions of the aid, the period for its implementation and the procedure for the breach of the conditions for granting the aid. The contract referred to in paragraph 3 which provides for a reduced interest rate credit shall also include an arrangement on how the undertaking is secured.
§ 8
Specific legislation applies to the monitoring of compliance with the conditions of the use of State budget appropriations under this Act and to the application of penalties in respect of breaches of budgetary discipline. 5)
§ 9
The government submits A report once a year to the Chamber of Deputies on the development of small and medium-sized enterprises, including an evaluation of the effectiveness of aid and the economy of the use of state budget funds under this law and the intention to further improve the effectiveness of aid.
Transitional and final provisions
§ 10
The rights and obligations arising out of contracts concluded before the date of entry into force of this Act or from decisions issued before the date of entry into force of this Act shall be governed by existing legislation.
§ 11
Act No. 299 / 1992 Coll., on State aid to SMEs is hereby repealed.

ČÁST DRUHÁ

Amendment of the Act on the Establishment of Ministries and other Central Authorities of the Czech Republic
§ 12
Act No. 2 / 2000, Act No. 2 / 2000, Act No. 2 / 2000, Act No. 2 / 2000, Act No. 5 / 2000, Act No. 5 / 1992 Coll., Act No. 5 / 1992 Coll., Act No. 5 / 1990 Coll., Act No. 5 / 1990 Coll., Act No. 33 / 1991 Coll., Act No. 5 / 1990 Coll.
1. in Article 13 (1) (d), the words "with the exception of regional business aid," shall be deleted;
2. In Paragraph 14 (1), the words "including regional business aid 'are deleted.

ČÁST TŘETÍ

§ 13
Efficacy
This Act shall take effect on 1 January 2003.
Klaus v. r.
Havel v. r.
Zeman v. r.
1) Annex I to Commission Regulation No 70 / 2001 of 12 January 2001 on the application of Articles 87 and 88 of the EC Treaty to State aid to small and medium-sized enterprises, as amended.
3) Act No. 59 / 2000 Coll., on Public Aid.
3a) Act No. 219 / 2000 Coll., on the property of the Czech Republic and its representation in legal relations, as amended. Act No. 218 / 2000 Coll., on budgetary rules and amending certain related laws (budgetary rules), as amended.
3b) For example, Act No. 218 / 2000 Coll.
3c) Act No. 72 / 2000 Coll., on investment incentives and on the amendment of certain laws (Act on investment incentives), as amended.
4) Article 14 of Act No. 218 / 2000 Coll., on Budgetary Rules and on the amendment of certain related laws (Budget Rules).
5) For example Act No. 320 / 2001 Coll., on Financial Control in Public Administration and on the amendment of certain laws (Act on Financial Control), Act No. 59 / 2000 Coll., Act No. 552 / 1991 Coll., on State Control, as amended.
6) For example, Regulation (EU) No 1303 / 2013 of the European Parliament and of the Council of 17 December 2013 on common provisions for the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development and the European Maritime and Fisheries Fund, laying down general provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund and the European Maritime and Fisheries Fund and repealing Council Regulation (EC) No 1083 / 2006, Regulation (EU) No 1301 / 2013 of the European Parliament and of the Council of 17 December 2013 on the European Regional Development Fund, on specific provisions concerning the Investment for growth and employment objective and repealing Regulation (EC) No 1080 / 2006.

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Regulation Information

CitationAct No. 47 / 2002 Coll., on the promotion of small and medium-sized enterprises and amending Act No. 2 / 1969 Coll., on the establishment of ministries and other central government bodies of the Czech Republic, as amended
Regulation TypeLaw
Author-
CollectionCode of Laws
Date of Promulgation08.02.2002
Effective from01.01.2003
Effective until-
Status Valid
The regulation text is for informational purposes only.
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