Mechanism to warn companies in difficulty set up

Chisinau, Nov. 25 / MOLDPRES /- Organization for Development of Small and Medium-sized Enterprises, in partnership with the Ministry of Economy worked out first early warning mechanism for companies in difficulty.

The mechanism will help both to avoid financial difficulties for companies and to reduce the negative effects of the current crisis. It is designed through the transnational project DanubeChance2.0 Accepting failure to facilitate access to second chance for entrepreneurs in the Danube region, which includes the Republic of Moldova, along with 13 other countries in the Danube region.

"Through this application, entrepreneurs who face difficulties in business, will be able to make an x-ray of the company, being detected the vulnerable points of the business, and then will be able to benefit from mentoring to recover and reset management," the Ministry of Economy said.

At the same time, a draft National Program was set up -Second Chance for local entrepreneurs, who face difficulties in managing business, are on the verge of bankruptcy or want to launch a new business.

This year, through the project, three Trial and Error training sessions were organized for local entrepreneurs from the North, Center and South regions, which focused on improving the company's management, motivational aspects and resource management. Thus, five domestic companies benefited from business acceleration services, through which experts in the field guided entrepreneurs in the process of revitalizing or restructuring the business.

The DanubeChance2.0 project is co-financed by the European Union through the Danube Transnational Program. The project aims to develop second-chance entrepreneurial policies and practical solutions to improve the entrepreneurial culture to avoid losing entrepreneurial potential and overcoming stigma of entrepreneurs after business failure.

Photo: ME