Abstract
Business transfer is an important issue that the European Commission has been actualizing since the early 1990s, when the first recommendations for the improvement of national business transfer ecosystems of the EU countries were created. Neglecting business transfer as a critical phase in the development of a company can have significant negative implications for companies, their owners and wide network of stakeholders. Business transfer is a particularly important topic for the Croatian economy where more than 5, 300 businesses with around 57, 000 employees represent a risk group whose owners underestimate the complexity and longevity of the business transfer process. The aim of this paper is to analyse the structure and quality of the business transfer ecosystem in Croatia. For this purpose, secondary research and a qualitative study in the form of interviews with representatives of key stakeholders were conducted. The Croatian business transfer ecosystem is benchmarked to the national business transfer ecosystems of Spain, Finland, Sweden and France, based on the data collected through the EU project BTAR. The research results indicate low level of development, interconnection and complementarity of individual components of the business transfer ecosystem in Croatia. Policy recommendations for improving the quality of the business transfer ecosystem in Croatia were identified.
Highlights
Business transfer is an important issue that the European Commission has been actualising since the early 1990s, when the first recommendations for the improvement of national business transfer ecosystems of the EU countries were created
Business transfer of small and medium enterprises represents a big challenge in the EU countries, where it is estimated that each year around 450,000 companies with around 2 million employees go through this process
In „Entrepreneurship 2020 Action Plan“, the European Commission re-enforces integrative framework based on understanding inter-connectedness between different phases of the business life cycle as a platform for designing coherent policies in order to build a supportive ecosystem in which business transfer is happening
Summary
Business transfer of small and medium enterprises represents a big challenge in the EU countries, where it is estimated that each year around 450,000 companies with around 2 million employees go through this process. The first recommendations to member states from 1994 (European Commission, 1994) were focused on improving legal, fiscal and administrative environment for business transfer, including the need for raising awareness among business owners on the importance of timely designed business transfer process in order to save jobs. Member states were invited to introduce special national policies and programmes for establishing a supportive ecosystem for business transfer, by paying special attention to raising awareness of the complexity of business transfer process and establishing transparent platforms for selling / buying businesses (European Commission, 2006). In „Entrepreneurship 2020 Action Plan“, the European Commission re-enforces integrative framework based on understanding inter-connectedness between different phases of the business life cycle as a platform for designing coherent policies in order to build a supportive ecosystem in which business transfer is happening
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