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07.04.2020

Center-invest Bank Studies Characteristics of Young Entrepreneurs in Southern Russia

Together with Center-invest Bank, the Expert Yug analytical centre is running a research project "Characteristics of the Young Entrepreneur". The project aims to build up a portrait of the younger generation of entrepreneurs, and its findings will be compared with the results of similar studies in 2017 and 2019. As part of the project, southern Russia’s successful young entrepreneurs will be showcased in the media.

The percentage of the Russian population that would like to set up their own business remains fairly low. In a survey conducted by the NAFI analytical centre in 2019 on behalf of the Ministry for Economic Development, only 29% of respondents wanted to become entrepreneurs, while 67% had no such desire. This data is backed up by a survey by the Russian Public Opinion Research Centre that found that only 25% of citizens wanted to have their own business. Almost two thirds (63%) said they would not want to be an entrepreneur. However, when we look at different age groups, we see that almost 50% of young people (aged 18–35) want to have their own business.

"The younger generation of entrepreneurs is a resource for Russia’s economic development," says Maria Khristolubova, deputy head of Center-invest Bank’s SME Division. "Center-invest Bank has long worked with start-ups and student business projects, providing them with free training, preferential loans, and mentoring through our own business accelerator (acc.centrinvest.ru). Thanks to this work, there are over 1000 new entrepreneurs running successful businesses in southern Russia."

As part of the project, it is intended to survey at least 300 young entrepreneurs (age limit of 35) from the Rostov region and Krasnodar krai. The project will provide an insight into what motivates young business owners and the new markets and trends that they are spotting.

"What we already know about the new generation in business is that opportunities for personal fulfilment take priority over financial rewards," says Vladimir Kozlov, general director of Expert Yug. "We also know that young entrepreneurs are mostly working in the service sector; they are confident using digital technology; and they want continual professional development opportunities."

The project welcomes applications from young entrepreneurs (age limit of 35) who can demonstrate significant growth potential, and whose business has been running for at least three years and has stable earnings. Their business can have any form of ownership and be from any sector. However, priority will be given to sectors relating to production (especially with unique or rare technologies), digital and medical technologies, and agriculture.