This document discusses youth unemployment and entrepreneurship in the EU. It provides statistics showing very high youth unemployment rates in some EU countries, over 50% in Greece and Spain. Integrated support services are needed to help young unemployed individuals explore self-employment opportunities. Quality support should be provided throughout the startup process and include counseling, financing, and interaction between support organizations and financial institutions. Case studies of successful young entrepreneurs in Germany are also presented.

1. iq consult
agency for social innovations
Norbert Kunz, CEO
OECD Leed, Capacity building seminar
Trento, 27-29 June 2012

2. EU General vs. Youth unemployment, Feb. 2012
Umemployment Youth unemployment
iqconsult_Shaping development
Source: derStandart.at
http://derstandard.at/1333185006677/Februar-Hoechste-Arbeitslosigkeit-in-EU-seit-1997
Accessed: 26/06/2012

3. EU Youth unemployment (<25), March 2012
Greece 51.20%
Spain 51.10%
Portugal 36.10%
Italy 35.90%
EU 22.60%
Eurozone 22.10%
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UK 21.90%
France 21.80%
Austria 8.60%
Germany 7.90%
0.00% 20.00% 40.00% 60.00%
Source: Eurostat

4. Youth unemployment in 2012
Facts
 EU unemployment rate reached 10,2 % in Feb. 2012
 EU youth unemployment rate more than 21% in Feb.
2012
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 Highest youth unemployment rates, over 50% !! …in
Greece and Spain and over 30 % !!!
in Italy, Lithuania, Portugal, Slovakia, Irland and
Bulgaria

5. Perception of the Feasibility of Self-
employment in the EU, 2009
EU 27
15 - 24
25 - 29
40 - 54
> 55
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Women (all)
Men (all)
0% 20% 40% 60% 80% 100%
Very or quite feasible
Not very or not feasible
Source: Commission (2009), Eurobarometer, "Entrepreneurship in the
European Union and Beyond"

6. Risks and Opportunities
Especially in the case of small enterprises risks
and opportunities are manageable !
The opportunities of self-employment for unemployed
people are twofold:
 The chance to own an income
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 Preservation and further development of
vocational skills
Self-determination and ownership is a different
motivation basis than many other professional
integration policies – which are often partially accepted
voluntarily.

7. Barriers - Youth Entrepreneurship (YE)
teachers
role models key stakeholders
migration
awareness networks social
family
society capital
market
barriers discrimination
in markets
YE
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collateral
attitudes loans
skills financial
education savings
credit history
knowledge work experience
training
programs

8. Barriers - Youth Entrepreneurship (YE)
teachers
role models key stakeholders
migration
awareness networks social
family
society capital
market
barriers discrimination
in markets
YE
iqconsult_Shaping development
collateral
attitudes loans
skills financial
education savings
credit history
knowledge work experience
training
programs

9. State of support services in Europe
Experiences from COPIE – Community of Practice on
Inclusive Entrepreneurship
 Parallel structures
 Competition between service providers
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 No offers for specific target groups
 Uncoordinated services
 No interaction between (micro-)finance institutions
and start-up support organisation

10. Risks and Opportunities
The opportunities of a self-employment activity
increases significantly through,
 a good preparatory qualification,
 a proper assessment of the economic sustainability
(business plan),
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 an accompanying monitoring (advice and coaching),
which helps to avoid mistakes,
 a timely crisis intervention.

11. Potentials for improvement
We need integrated start-up support services
(micro-)
Support
Finance Interaction
servicies
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Institutions
Main roadblock: Main roadblock:
Bankability One size fits
all offers

12. enterprise
Integrated start-up support model for youth unemployed
Help young unemployed to find their way through
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self-employment
Building on the fact that an offer for young adults
without mediation and integration ends up failing.

13. the enterprise process
Interaction between
(micro-) finance institutions and
support services
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14. iqconsult_Shaping development
Tanja Hofmann
“Lekker Snoepjes”
Chocolate factory and coffee
Founded in 2008 in Potsdam
www.lekkersnoepjes.de

15. iqconsult_Shaping development
Daniel Thiede
„Die Saubermacher“
Maintenace services
Founded in 2011 in Groß
Woltersdorf/ Priegnitz

16. iqconsult_Shaping development
Susann Goldau
„Tischkultur Susann Goldau“
Interior designer
Founded in 2010 in Rathenow/
Havelland
www.deko-goldau.de

17. Evaluation of regional business start-up support
infrastructure, Extremadura, Spain – Sep. 2010
5th Block – Evaluation of regional business start-up
support infrastructure
1. The infrastructure to start-up a business in my area reaches and is
aligned to all interested groups
2. It is possible to obtain information through info-sessions or by other
means about entrepreneurship and self employment in my area
3. The advising services in my region give a complete and transparent
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information on their support services
4. It is easy for entrepreneurs to find adequate support services in my
region
5. In my region there are suitable individual advising and support offers for
those interested in the pre-start-up phase (free or at a reasonable cost)
6. In my region there are suitable individual advising and support offers for
those interested in the post-start-up phase (free or at a reasonable cost)
7. There are appropriate funding sources for small business start-ups in my
region (with small or reasonable warranties)
8. The business start-up advisors are good qualified for their work

18. Evaluation of regional business start-up support
infrastructure, Extremadura, Spain – Sep. 2010
5.0

4.5
4.0
3.5
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3.0
…support services reaches and
is aligned to all interested
2.5
groups?
2.0
5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8
Entrepreneurs Businessmen/-women (<2y) Advisors
Source: Community of Practice on Inclusive Entrepreneurship – QM Survey on requirements
for business advisors and evaluation of the regional infrastructure for business start-ups.
Extremadura, Spain. September 2010

19. Quality
What are the most significant quality characteristics
of a business start-up support system?
 Integrated start-up support model in all phases of
business creation.
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 Target group oriented services increase the
willingness to tackle the question of self-employment.
 High quality counseling offers
 Finance: access, monitoring and interaction with
support services
 Positive start-up environment

20. A concept of iqconsult
iqconsult is an agency for social innovation based in
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Germany with almost 20 years of experience. We design
and implement social innovative concepts in the areas of
regional development and inclusive-, cultural- and social-
entrepreneurship.

21. Norbert Kunz
kunz [at] iq-consult [.] com
They can, if they
become the right
support !!
„enterpriseVorein of me the
„With the support
Annegret provides
has given
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comprehensiveSpeechadvisors
professional business therapy
Start-up idea: into self-
courage to step advice on all
issues relatedself-employment
my dream of and self-
www.logopraxis-potsdam.de
employment to transform my
employment.career“ tovital
has come true and the the
passion into Thanks
tirelessVaorin of 20.000 Euro
start-upsupport of my business
Maria credit
advisors, idea: byalway & very
was approved Fashion felt
Start-up I have the bank.
You have been great, thank you
comfortablephotography
advertising and proficiently
very much!“
www.mariavaorin.de
supported!“
Maria Vaorin
Martin Rolle Fashion &
Annegret Vorein
Start-up idea:
Boat rental
Start-up idea: Speech therapy
advertising photography
www.geboote24.de
Age at founding: 2527