Incentive schemes for small business

I refer to the letter Small Business Owner's Plea For Help by Paul Borg (February 6).

It seems that Mr Borg is referring to the MicroInvest scheme, which is offering the opportunity to self-employed business owners and all those employing less than 10 people, to invest in new machinery or technology, refurbish their establishment and/or recruit new personnel to deduct 40 per cent of the cost of their investment (60 per cent in Gozo) from their due amount of tax. This is a unique opportunity whereby small business owners are being supported to renovate and upgrade their businesses at a susbtantially reduced cost.

Precisely because the government appreciates that 2009 may have provided additional challenges as a result of the impact of the international economic and financial crisis on our economy, businesses will be able to make use of this tax credit until 2014. Hence, if no profit is made this year, four more years are available to gain such benefit.

Moreover, a different scheme, in the form of a micro-credit facility, is being developed, as promised in the Budget for this year, and will be announced in the coming months. Business owners will be able to choose the scheme which best suits their needs. Over and above, numerous incentives are available this year, including through EU funding, for businesses wishing to invest in innovative products, research and development, energy-saving or energy-producing technology, as well as those that wish to seek opportunities in new markets beyond Malta's shores.

I encourage Mr Borg to get in touch with the Ministry of Finance's Micro Business Support Unit or Malta Enterprise to enquire about the different options that his business might benefit from.