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Proposal for Spring Congress 05. - 07. April 2019

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Submitted at Monday, 4. March 2019 um 09:28 Uhr, in category "Chapter 4 – Business, Economy, Finance and Tax, Cross-Cutting Policies" with No. 401. Author/s: "Joventut Nacionalista de Catalunya (Laia Comerma), Venstres Ungdom, Radikal Ungdom, Fédération des Etudiants Libéraux.

The Spring Congress may decide:

Standing behind our SMEs

Stressing that:

  • SMEs are affected by EU legislation in various fields, such as competition (Articles 101 to 109 TFEU), taxation (Articles 110 to 113 TFEU) and company law (right of establishment – Articles 49 to 54 TFEU).

Noting that: 

  • The existing 23 million SMEs represent 99% of all business in the EU;
  • In the past five years, they have created around 85% of new jobs and provided two-thirds of the total private sector employment in the EU;
  • The SMEs are particularly a well-known source of entrepreneurship within the European economy, which is the foundation to ensure economic growth, innovation, job creation and social integration in the EU;
  • After the economic crisis, as reported by the SME Envoy Network, there has been a strong recuperation and an increase in production and occupation in the SME sector, but that they are still losing export potential due to the existing cross-border barriers within the EU;
  • The current SME Instrument will not exist under the next Multiannual Financial Framework (2021-2027).

Considering that:

  • The survey carried out to evaluate the performance of the Small Business Act (2008) as the overarching framework acknowledges the need for a renewed strategy for SMEs with a special focus on the five priority areas identified by the SME Envoy Network;
  • The administrative and legislative burden remains the top concern for stakeholders;
  • Access to finance remains difficult despite the actions taken both at the EU and member states’ level;
  • Six Member States still generated SME value added in 2017 which was still below their respective levels of 2008;
  • The SME Instrument was particularly useful because it was self-beneficiary for the participating company.

LYMEC welcomes:

  • The European Commission’s decision to include a similar program to the SME Instrument under the European Innovation Council for incremental innovation, called the accelerator programme, which will help SMEs to grow through grants with no budgetary limit;
  • The SBA and the Commission’s intention to work for the continuous improvement of the framework conditions for SMEs in the single market, as expressed in the “Towards a Single Market Act – For a highly competitive social market economy” (COM(2010) 0608) and the “Single Market Act II (COM(2012) 0573);
  • The European Parliament’s proposal that 70% of the European Innovation Council will be reserved to SMEs and start-ups.

LYMEC urges:

  • The EU to take steps to remove cross-border barriers within its frontiers to facilitate the export of products and services by SMEs, paying special attention to administrative and legislative burdens;
  • The EU to make a more efficient use of the existing instruments, particularly of COSME financial instruments;
  • The EU to keep on improving access to new markets and the internationalisation of SMEs as an opportunity to grow, increase revenue and gain business experience, since currently only 20% of SME exports go outside the Single Market;
  • To create synergies between existing programmes to promote “early stage” entrepreneurship, entrepreneurship education and support youth start-ups and SMEs;
  • The EU to address the issue of the lack of skills in SMEs, especially when it comes to the growing digitalisation of the economy and the spread of new technologies;
  • To take into account the energy transition, which has to be fair and sustainable and be carried out in a proportional manner, for what the SMEs need to prepare themselves beforehand. In this regard, an incentives scheme would be a policy to consider;
  • The EU to go beyond research funding and innovation funding programmes and consider the unification of EU’s fewer requirements or reduced fees policies for administrative compliance across member states;
  • The EU to provide appropriate assistance to the SMEs in order to help them keep their commercial relations with the UK in light of the possibility of a so-called hard BREXIT. 
  • The member states to create similar national support programmes that could create synergies with the new EU funding programmes, respecting the principle of subsidiarity and avoiding unnecessary bureaucracy;
  • The LYMEC Bureau to forward this resolution to the ALDE Party and to the ALDE Council;
  • The LYMEC member organisations and member contacts in the EU member states and applicant states to pressure their mother parties and other politicians to achieve the aims of this resolution.

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Amendments for this proprosal:

  • [11295] Replace: Page 1, Line 52 to Page 1, Line 53 (Antragsteller: Jong VLD - Brent Usewils). / V1

    We want to replace "the issue of the lack of skills" in a way that it's a more positive text.

    Submitted at Friday, 29. March 2019 um 06:52 Uhr. Authors: "Jong VLD - Brent Usewils".

    The EU to provide educational support to SMEs, especially when it comes to the growing digitalisation of the economy and the spread of new technologies;

    »Download amendment as PDF file

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