Sme Definition By European Commission

They employ around 100 million people account for more than half of europe s gdp and play a key role in adding value in every sector of the economy.

Sme definition by european commission. Sme definition of the european commission the eu recommendation 2003 361 defines micro small and medium sized en terprises smes. Micro small and medium sized enterprises smes play a central role in the european economy. Without prejudice to the first subparagraph any amendment of the sme definition within the programmes can be made only by adopting the definition contained in this recommendation in accordance with paragraph 1. The eu sme definition less than 25 participation by of the enterprise autonomous between 25 and 50 participation by of the enterprise partner more than 50 participation by of use of the enterprise or equivalent control linked type treatment use solely the data of the company 100 of the data of the enterprise.

A small or medium sized enterprise or sme as defined by the european commission is a business or company. That has fewer than 250 employees. What is an sme. They are a major source of entrepreneurial skills innovation and employment.

It is designed to be a practical tool to help smes identify themselves so they can receive support of the eu and its member states. Small 50 10 m 10 m. And has either a annual turnover not exceeding 50 million approximately 40 million or b an annual balance sheet total not exceeding 43 million approximately 34 million. In the enlarged european union of 25 countries some 23 million smes provide around 75 million jobs and represent 99 of all enterprises.

The definition of an sme is important for access to finance and eu support programmes targeted specifically at these enterprises. Introduction a new boost for jobs growth and investment is the first priority of the president of the european commission. The sme definition is a prac tical tool designed to help smes identify them selves so that they can receive the full support of the eu and its member states. Small and medium sized enterprises smes represent 99 of all businesses in the eu.

The sme definition recommendation that came into force on 1 january 2005 aims to ensure that support measures are granted only to those enterprises that genuinely need them. They represent 99 of all businesses in the eu. The commission of the european communities. Medium sized 250 50 m 43 m.