As many graduates leaves the university gates with their warranted certificates secured in their pockets, the employers are deemed to lock their own doors for recruitment.
The economy of the third world countries especially is characterized by more job seekers rather than job creators.
It is for this reason that you will find natives of such countries competing angrily for the few available job opportunities.
This observation has been noted by the governance of such countries and as a result they have supported the idea of setting up law enabling the citizens to start up small and medium enterprises or organizations.
This action is aimed at helping the many intelligent brains looming about in the job market with the hope of grabbing one of the few chances available by making them able job creators who can absorb the upcoming job seeking generations.
Small and Medium Enterprise Basic Law
The Law aims to offer innovative courses for small and medium enterprises and put forward goals of policies for those enterprises.
It specifies measures to sustain business invention and modernization by small and medium enterprises in retort to changes in the economic environment.
Moreover it provides measures to reinforce operating bases that add to future business innovation among small and medium enterprises which have been clearly hit by main alterations in the economic environment.
The Law specify the rules of approval and others matters regarding research and development programs of small and medium enterprises, industries unions and others in order to enter into new business sectors.
It aims to help structuring activities conceded by industry associations and others in accordance with industry by industry transformation plans in order to encourage upgrading of small and medium enterprises.
The Law specifies the Small Business Corporation whose plan is to contribute to training and guidance for promoting advancement of small business organization and reshuffling of corporate management.
Its other duties comprise contributing to operation of mutual relief projects under the Small Enterprise Mutual Relief Projects Law and one on Mutual Relief System for the Prevention of Bankruptcies of Small and Medium Enterprises.
Small and medium enterprises and the business credit
Many people who own business are small scale and in order for them to enjoy economies of scale, they have to rely on loans or borrowing for instance.
This in other words is business credit which enables them to grow to other levels of production and profitability.
The Law sets small and medium enterprise credit insurance to smooth the progress of operation money for small and medium enterprises, aiming at their development.
It does so by setting the system of the Credit Guarantee Associations to achieve easier financing for small and medium enterprises.
The system's main duties are to make guarantee for such debts when those enterprises are financed by other financial institutes.
What consolation do the small and medium enterprises have for disasters?
The Law provides the national government's particular fiscal aid for local governments or special assistance measures for the damaged in case of extraordinary substantial disasters
This is an original article written by Esteri Maina on SMALL AND MEDIUM, Esteri Maina is an author with a great gift and full of inspiration.
