Networking Young Entrepreneurs: Building and Sustaining Businesses

The fourth and final round table, “Networking Young Entrepreneurs: Building and Sustaining Businesses“, was organized in Banja Luka by the Institute for Youth Development KULT. The round table is part of the initiative “Networking Young Entrepreneurs” within the EU4Business project funded by the European Union and the Government of the Federal Republic of Germany.

The panel discussions focused on the challenges of starting and running existing youth-owned businesses. Young entrepreneurs, economic experts, and youth workers working in public administration shared their experiences and knowledge about networking for young entrepreneurs who have started or want to start their own businesses. Given that this is the last of the four round tables, we can conclude, based on the opinions and experiences of participants from all four cities, that young entrepreneurs need starting capital, mentoring, and support during the first year of running a business.

“It’s important to talk about the importance of sustainability for youth-owned businesses. Business start-up and registration support programs are an effective and useful measure. However, it is essential to develop programs that focus on business growth, development, and sustainability, rather than just survival,” said Ajka Rovčanin, Head of the Economic Development Department at the Institute for Youth Development KULT.

The panel discussion focused on two key topics:

• What are the biggest challenges young business owners face and how can they overcome them?

The panelists were Marija Trubajić (PoslovniPokloni.ba), Maja Knežević (City of Banja Luka), Saša Petković (economic expert), Zerina Selimović (Institute for Youth Development KULT).

• How can networking help young entrepreneurs with sustainability?

The panelists were Bojan Ćikić (Agro Business Service), Petar Radulović (City of Banja Luka), Ivan Babić (City Development Agency of Banja Luka), Drago Gverić (Innovation Center Banja Luka – ICBL).

Given the lack of tax benefits, the fear of starting a business among young people is justified. Most participants emphasized that such benefits are crucial in the first year of operation to ensure the business’s survival.

There are several compelling reasons to support young entrepreneurs in BiH, especially those in the early stages of starting their businesses. They need support with a variety of challenges, including:

• Lack of business experience and knowledge about entrepreneurship and business economics
• Underdeveloped social capital or the lack of networks comprising customers, suppliers, funding sources, and government institutions
• Lack of a customer base and an underdeveloped marketing information system
• Lack of external sources of venture capital
• Institutions lacking the necessary capacity (underdeveloped entrepreneurial ecosystem)
• Lack of mentors and role models, generally low level of development of the entrepreneurial ecosystem.

Marija Trubajić, a successful entrepreneur from Banja Luka, noted that networking is essential for building and expanding a business.

“I am the founder of PoslovniPokloni.ba and I’m participating in this event together with fellow entrepreneurs, and representatives of organizations and the government. This round table is an opportunity to make new connections and improve our position on the market by sharing advice and opportunities. This is a great chance for us to improve our position on the market, and even start thinking about breaking into regional market and expanding our businesses,” said Marija Trubajić, an entrepreneur from Banja Luka.

The Survey on the problems and needs of young entrepreneurs was conducted to identify the key challenges faced by young entrepreneurs who founded or inherited businesses. The goal was to use this input as a roadmap for future action.

Before Banja Luka, round tables were also held in Doboj, Mostar, and Sarajevo.

With the aim of strengthening BIH’s economy, the EU4Business project stimulates the development of entrepreneurship, export-oriented sectors, tourism and agriculture, and rural development. The project, valued at 16.1 million EUR, is jointly financed by the European Union with 15 million EUR in grants and the Federal Republic of Germany with 1.1 million EUR. The project is jointly implemented by GIZ, UNDP, and ILO from April 2018 to March 2022. EU4Business is part of the Local Development Strategies – Local Self-Government and Economic Development Programme in Bosnia and Herzegovina by the German Federal Ministry for Economic Cooperation and Development (BMZ). For more information about the EU4Business project, visit www.eu4business.ba.