For several years now there has been major growth in micro-enterprises in Latvia, primarily because the authorities have made them easy to create, but also because the country appreciates that SMEs are the main drivers of economic growth.
Organic cosmetics designed and made in Riga; that is the business of Kiwi, one micro-enterprise that has seen stunning success in just three years. Starting at a modest 25,000 euros, annual turnover it has increased tenfold and is set to reach 250,000 euros this year.
“We started with 2 people in a small space with 6 products… Now, we are up to 12. We have more than 30 products in range and we are exporting to 14 countries,” says Agate Kanca CEO of Kivvi Cosmetics
To develop their range Agate and her colleagues launched a line of products for beauty trade practitioners. Agate believes it was Latvia’s support for micro-enterprises that made this possible: “For micro-enterprises, tax policy is very attractive: it is only 9% that you have to pay from your turnover… The second very attractive aspect is the very simple accounting system. You can even do it by yourselves,” she explains.
This aid for micro-enterprises was driven by Latvia’s Chamber of Commerce and Industry. Its success has been rewarded with the Grand Jury Prize of the ==
