The bill on “Incentives for business development, through partnerships and corporate transformations” concerns exclusively small and medium-sized enterprises and especially very small ones, which will really help them to grow, said Deputy Finance Minister Theodoros Skylakakis, noting that the incentives provided are not enough to mobilize a large company.
Supporting the bill in plenary, Mr. Skylakakis pointed out that productivity and competitiveness are the main reason for this legislative initiative, as mergers and acquisitions create economies of scale, a better access to bank lending, to larger and more valuable capital investments and organization.
He also said that the unfair competition caused by tax evasion is suppressed, which is in fact the big trap for the companies themselves, as it traps them to have a degraded profile.
The Deputy Minister of Finance, referring to the provisions concerning the primary sector, spoke of a cut, noting that we have no luxury not to use all possible tools, such as contract farming, used by our farmers, in order to increase of their size and co-operation.
That is why, he added, we give strong incentives to farmers who are in cooperatives or want to join cooperatives and those who are in other collective farms of producers.
He also pointed out that in another sector we are intervening is the retail sector in the form of franchise encouragement but only for the beneficiary as in order for a small store to be competitive it must be able to buy at low cost and cooperate at the brand name level and beyond.
Mr. Skylakakis acknowledged that changing the culture of Greek society in relation to collaborations, this is not done by a law but takes time. He stressed that “cooperation has never existed in our law, but now it is defined by this bill”.