ASI will submit proposals on underage entrepreneurs legalization in 2020

: Tatyana Masterova | ASI Press service

Proposals to simplify business procedures for young, including underage entrepreneurs (14-16 years old), will have been developed by July 1, 2020, by a specially created working group based on Agency for Strategic Initiatives (ASI). Svetlana Chupsheva, General Director of ASI, spoke about this at a news conference in Izvestia on October 1.

“ASI acts as a platform where we, together with the young, figure out how to make the mechanism for obtaining legal capacity from 14 to 18 years old a simple procedure, client-oriented, so that those who are already operating in this field of activity could do it absolutely openly and legally, - Svetlana Chupsheva reported. - These proposals will be developed jointly with the government of the Russian Federation. Our main counterparties are the Ministry of Justice and the Ministry of Economic Development”.

The head of ASI noted that the underage are now “seemingly not legally prohibited” from doing business, but the procedures are so complex and opaque that it is “easier for many young entrepreneurs to work under the table.” This, according to Svetlana Chupsheva, gives rise to legal nihilism.

“Hypothetically, from the age of 14, you can register as an sole proprietor only with the notarial consent of your parents. But then each time, making transactions, it is necessary to obtain this consent again. The second aspect is recognition of legal capacity. The guardianship agency confirms legal capacity, but only from 16 years old. If they refused to do so, the minor, together with his or her parents, can challenge this decision in court. When the court cancels this decision, they resend the documents to the guardianship agency. And it starts all over again”, she explained.

Another legal conflict is that consent from one legal representative (parent, guardian) to independent activity of an underage is also insufficient. “The issue is not resolved if one parent refused, and the second agreed. If one parent is missing, the question is not resolved either,” Svetlana Chupsheva gave another example.

Svetlana Chupsheva

According to the Ministry of Economic Development estimation, the share of the shadow economy in the Russian Federation is about 10 trillion rubles. To solve this problem, “you need to create a competitive jurisdiction,” said the General Director of ASI. Svetlana Chupsheva is sure that is the young people who will provide the growth of SMEs. In her opinion, the main growth point for solving this issue is technological entrepreneurship, especially in the field of IT.

“Cancel all taxes altogether for R&D teams of 8-10 people in IT sector. Create comfortable conditions for them to start. If you want to confirm (if you’re afraid that they will re-register or use fraudulent schemes) - put them into the existing infrastructure: Skolkovo, technology parks in the regions, etc. Reset to zero all reporting, tax payments, deductions to social funds for them,” the head of ASI declared.

Dmitry Reznikov, a student and a technical director of Initsiativa LLC, spoke about the development of a unified platform for start-up entrepreneurs, where ASI services (acceleration, education, project support) will be gathered, various development institutes, government bodies, as well as a marketplace for developers of external products and services simplifying business processes.

Dmitry Reznikov

“The platform will become a common aggregator of support measures. Once you fill out the form, you can use it to fill out an application for a grant or to support a project in various development institutes. Now all these requirements are scattered [across different resources] and are not integrated into the common system. The launch of the platform is scheduled for mid-2020, we plan to show the first beta version in spring,” Dmitry Reznikov reported.

Where it is difficult to overcome regulatory barriers, young entrepreneurs look for alternative ways through technological solutions. For example, ASI DevService hackathon participants developed a service for the protection of intellectual property through smart contracts.

“This service works on the blockchain. Suppose you are 14-15 years old, you post a note that you have presented a specific technology, and this information will not be erased. Stakeholders understand that this is your development. This is an alternative to the existing legislation, Rospatent,” Svetlana Chupsheva explained.

At the same time, she emphasized that it is necessary to continue improving the legal field simultaneously. “I think that here we will find common ground with Rospatent as well on how to make sure that new technologies are used in patent activity and enable the underage to protect their intellectual property and their developments,” the head of ASI said.