EUROPEAN UNION FUNDS AS A SOURCE OF FINANCING OF INVESTMENT IN COMPANIES

Abstract

Entrepreneurs are the main beneficiaries of the funds from European Union. The process of financial support from the EU for entrepreneurs conducting business activities in Poland is an important issue, which should be taken up by entrepreneurs, government and other offices and institutions, which participate in the process of absorption of the financial support. Introduction of the possibilities of financing and realization of the investment originating from various EU programs in new the 2007 – 2013 programming perspective, understanding of the stages of preparation of the project and application form, knowledge about financing principles of the investments from granted support are essential. Co-financing of projects realized from EU financial resources has a lot of advantages. First of all, the subsidies present an additional source of financial support for enterprises which allow them to accomplish the investment with considerably lower costs than by using other sources (for example credit). Secondly, the subsidy allows them to make the investment faster, to create new additional job positions and utilize modern technology, which the company couldn’t afford to do by using its own funds. Moreover, the resources from various European Funds have a favorable effect (impact) on enterprise development and on improvement of its competitiveness in the market. The company and all technologie, which could be implemented can become more innovative.