Azerbaijan, Baaku, May 2 /Trend A.Hasanov/
It is necessary to bring the classification of business entities to European standards to improve the situation of small businesses and business climate in Azerbaijan, head of the Center for Political and Economic Studies, Sabit Bagirov said at a conference on Ways of development of small businesses.
According to the classification adopted by the Cabinet of Ministers of Azerbaijan on December 18, 2009, subjects, with an annual turnover of up to 500,000 manat and the state of not more than 50 people is related to small businesses in the construction industry, in agriculture - with a turnover of up to 250 thousand manat and the number of employees no more than 25 people in the wholesale trade - with a turnover of up to one million manat and fewer than 15 people in the retail trade, services, transport and other spheres of economic activity - with a turnover of up to 250 thousand manat and the staff of not more than 10 people.
According to European standards, the average entrepreneur is a subject with an annual turnover of 50 million euros, the carrying amount of assets amounting to 43 million euros and a staff of no more than 250 people. Subject with annual turnover and the value of assets amounting to 10 million euros and the number of employees not more than 50 people is related to small businesses, and micro-enterprise - with an annual turnover and assets of no more than two million euros and a staff of no more than 10 people.
According to Bagirov, "the classification should include micro, small and medium businesses to bring the criteria for determining small businesses to European rates and classification. It is also necessary to eliminate the principle of separation of businesses in areas of economic activity, and the annual turnover for the relevant category of business entities need to be increased."
Official exchange rate on May 2 is 0.7862 AZN/USD