The Role of State Support in Business Development

In order to start and develop business activities in the country, it is necessary to have an attractive, perfect tax system, the formation and renewal of the tax system must be done continuously and must be in accordance with international tax practice, must be close to the legislation of the European Union, etc. The state applies various measures to support business, including tax incentives. The state's grant program "Produce in Georgia" made a great contribution to the development of new businesses in the country, existing businesses were expended and local workforce was employed. The "Produce in Georgia" micro and small entrepreneurship grant program of the 2023 round has 1,176 winners. From 2015 to 2022, within the framework of the micro and small entrepreneurship promotion grant program, more than 8 thousand projects were financed, the amount of investments exceeds 116 million, and the number of employees exceeds 21,000. For the development of a number of business areas, it is necessary to stimulate exports and find new markets. It is important to inform the public about the agency's activities and functions in an appropriate dose, part of the population does not have information about the country's grant programs, most importantly, it is necessary that the agency's activities and financing processes must be even more transparent, since, as research has shown, there is a lot of mistrust of the agency among entrepreneurial subjects, because they think that in some cases, unstable, unrealistic business ideas are financed, and at the expense of this, the real entrepreneur and business idea suffers. Regulation of all this is still a necessary activity of the state. As a result of the research, we can identify the most problematic issues of state programs supporting business development and ways/recommendations to solve them: 1. Raising the level of proper awareness of entrepreneurs; 2. Audit and optimization of the financial part of the project; 3. Raising the transparency level of state programs promoting business development; 4. Increasing confidence in state programs supporting business development; The Government of Georgia, while developing the country's strategic plan and drawing up the economic development program, gives special and advantageous importance and aims to improve the business environment, to bring it as close as possible to European standards, which will lead to the growth and development of small and medium-sized enterprises.