■Purpose Small Business in Small and Medium-Sized Enterprises (Hereinafter referred to as "Small and Medium-Sized Enterprises".) is an important part of local economies and jobs. By 2025, however, there would be approximately 2.45 million Small and Medium-Sized Enterprises executives over the age of 70 (the average retirement age), and approximately half of these, 1.27 million (approximately 30% of all Japanese companies), have undecided successors. If this situation is left unchecked, a sharp increase in the number of closures in Small and Medium-Sized Enterprises could result in a cumulative annual loss of approximately 6.5 million jobs in 10 and a GDP loss of approximately 22 trillion in JPY by around 2025. In such an environment, Small and Medium-Sized Enterprises, which does not have a successor, faces obstacles to realizing a smooth Business Succession in Business Succession, including the selection of successor candidates and the implementation of successor education to enable such candidates to become excellent managers, in addition to sorting out issues and formulating plans for Business Succession. To resolve these issues, this project aims to realize a smooth Business Succession in Small and Medium-Sized Enterprises, where there is no successor, by selecting a third party as a successor candidate, Business Succession (Hereinafter referred to as "Third Party Succession".). For those in Small and Medium-Sized Enterprises who do not have a successor and are making preparations for the establishment of Business Succession Plan, support will be provided for securing third-party successor candidates and implementing succession education for those candidates.

■ Overview This project subsidizes the efforts of Small and Medium-Sized Enterprises, which has no successor, to formulate a plan for Business Succession and select a successor candidate. Specifically, grant will be granted on the assumption of "subsidy for receiving support for formulation of Business Succession Plan" and "subsidy for fees associated with matching successors."

■ Underlying Law Law for the Proper Enforcement of budget for grants in Relation to grant, etc.

■ Eligibility Applicants for this program must be private sector companies that meet the following requirements. If the following requirements are no longer met even during the project implementation period, necessary measures such as changes in the responsibility system may be requested.

(Eligibility Requirements) (1) The person is a person with legal personality and satisfies the definition of the scope of Small and Medium-Sized Enterprises person and small business under Article 2, Paragraph 1 of the Basic Law of Small and Medium-Sized Enterprises. ※ However, persons who fall under any of the following categories are not covered by grant. (1) Small, Medium and Small Business whose capital or capital contribution has 100% of its shares, directly or indirectly, in a corporation of 500 million JPY or more. (2) Small, Medium and Small Business whose annual average taxable income for each year or business year for the most recent 3 years, as determined (and declared) at the time of application, exceeds JPY 1.5 billion. (2) The foreign national has a base in Japan. (3) The applicant is not subject to suspension of issuance of grant certificates, etc. or suspension of designation from the the Ministry of Economy, Trade and Industry. Also, when entering into a contract for sale or contracting for Others for the purpose of implementing subsidized projects, or when entrusting a part of subsidized projects to a third party, or when engaging in subsidized projects jointly with a third party (excluding contracts with an amount of less than 1 million JPY), it is not possible, in principle, to have a business operator in accordance with suspension of grant deliveries, etc. or suspension of designation from the Ministry of Economy, Trade and Industry as the counterparty to the contract (The same applies regardless of the number of layers of implementation systems for subsidized projects.). To take necessary measures to that end. (4) A person who reliably possesses the neutrality and impartiality necessary for conducting indirect support services. (5) The applicant has the ability to plan an implementation plan and manage its implementation, etc. with regard to the relevant project. (6) Rules, etc. are in place regarding methods of accounting, decision-making, responsibility systems, etc., and smooth business implementation is possible. (7) To be able to respond and respond promptly to communications, instructions, inquiries, etc. from the execution management organization. (8) To cooperate as much as possible in the provision and disclosure of documents and information requested by the Board of Audit and enforcement management organizations. (9) There is no dishonest act and the creditworthiness is good. (10) the person is not an organized crime group as prescribed in Article 2, Item 2 of the Act on Prevention of Unjust Acts by Organized Crime Group Members (Act No. 77 of 1991); (11) Organized crime groups, their members (including members of organized crime groups), or persons for whom five years have not passed since the day on which they ceased to be members of organized crime groups do not belong to the organization. (12) The applicant is not a person who has committed or is likely to commit a violent subversive activity as prescribed in Article 4 of the Subversive Activities Prevention Act (Act No. 240 of 1952).

■ Contact Information PwC Consulting GK Business Succession Succession Assistance Program (Business Succession Trial) Executive Authority (subsidized entity) E-mail: jp_cons_trial_business_succession@pwc.com TEL: 050-6868-9832

■ URL https://trial-business-succession.jp/

A research from Deloitte shows three estimations based on different scenarios, ranging from optimism to extreme pessimism, of India’s real GDP growth rate. In scenario one, with mass vaccination, the local spread of the virus may see significant reduction and there will be no further outbreaks. Meanwhile, as the stimulus and reforms come into effect, the economy can be expected to reach pre-Covid-19 pandemic levels around end of 2021. However, in scenario two, as the pandemic continues to affect Indian society, and the governmental spending and reforms are limited by the impact, the economy is expected to reach pre-crisis levels in mid-2022. In scenario three, the most pessimistic estimation, Indian economy will only recover at the end of financial year 2023.

■Purpose Small Business in Small and Medium-Sized Enterprises (Hereinafter referred to as "Small and Medium-Sized Enterprises".) is an important part of local economies and jobs. By 2025, however, there would be approximately 2.45 million Small and Medium-Sized Enterprises executives over the age of 70 (the average retirement age), and approximately half of these, 1.27 million (approximately 30% of all Japanese companies), have undecided successors. If this situation is left unchecked, a sharp increase in the number of closures in Small and Medium-Sized Enterprises could result in a cumulative annual loss of approximately 6.5 million jobs in 10 and a GDP loss of approximately 22 trillion in JPY by around 2025. In such an environment, Small and Medium-Sized Enterprises, which does not have a successor, faces obstacles to realizing a smooth Business Succession in Business Succession, including the selection of successor candidates and the implementation of successor education to enable such candidates to become excellent managers, in addition to sorting out issues and formulating plans for Business Succession. To resolve these issues, this project aims to realize a smooth Business Succession in Small and Medium-Sized Enterprises, where there is no successor, by selecting a third party as a candidate to succeed Business Succession (Hereinafter referred to as "Third Party Succession".). For those in Small and Medium-Sized Enterprises who do not have a successor and are making preparations for the establishment of Business Succession Plan, support will be provided for securing candidates for successors as third parties, and implementation of succession education for candidates for successors.

■ Overview This project subsidizes the efforts of Small and Medium-Sized Enterprises, which has no successor, to formulate a plan for Business Succession and select a successor candidate. Specifically, grant will be granted on the assumption of "subsidy for receiving support for formulation of Business Succession Plan," "subsidy for fees associated with matching successors, etc.," and "subsidy for education of successors to candidate successors."

■ Underlying Law Law for the Proper Enforcement of budget for grants in Relation to grant, etc.

■ Eligibility Applicants for this program must be private sector companies that meet the following requirements. If the following requirements are no longer met even during the project implementation period, necessary measures such as changes in the responsibility system may be requested.

(Eligibility Requirements) (1) The person is a person with legal personality and satisfies the definition of the scope of Small and Medium-Sized Enterprises person and small business under Article 2, Paragraph 1 of the Basic Law of Small and Medium-Sized Enterprises. ※ However, persons who fall under any of the following categories are not covered by grant. (1) Small, Medium and Small Business whose capital or capital contribution has 100% of its shares, directly or indirectly, in a corporation of 500 million JPY or more. (2) Small, Medium and Small Business whose annual average taxable income for each year or business year for the most recent 3 years, as determined (and declared) at the time of application, exceeds JPY 1.5 billion. (2) The foreign national has a base in Japan. (3) The applicant is not subject to suspension of issuance of grant certificates, etc. or suspension of designation from the the Ministry of Economy, Trade and Industry. Also, when entering into a contract for sale or contracting for Others for the purpose of implementing subsidized projects, or when entrusting a part of subsidized projects to a third party, or when engaging in subsidized projects jointly with a third party (excluding contracts with an amount of less than 1 million JPY), it is not possible, in principle, to have a business operator in accordance with suspension of grant deliveries, etc. or suspension of designation from the Ministry of Economy, Trade and Industry as the counterparty to the contract (The same applies regardless of the number of layers of implementation systems for subsidized projects.). To take necessary measures to that end. (4) A person who reliably possesses the neutrality and impartiality necessary for conducting indirect support services. (5) The applicant has the ability to plan an implementation plan and manage its implementation, etc. with regard to the relevant project. (6) Rules, etc. are in place regarding methods of accounting, decision-making, responsibility systems, etc., and smooth business implementation is possible. (7) To be able to respond and respond promptly to communications, instructions, inquiries, etc. from the execution management organization. (8) To cooperate as much as possible in the provision and disclosure of documents and information requested by the Board of Audit and enforcement management organizations. (9) There is no dishonest act and the creditworthiness is good. (10) the person is not an organized crime group as prescribed in Article 2, Item 2 of the Act on Prevention of Unjust Acts by Organized Crime Group Members (Act No. 77 of 1991); (11) Organized crime groups, their members (including members of organized crime groups), or persons for whom five years have not passed since the day on which they ceased to be members of organized crime groups do not belong to the organization. (12) The applicant is not a person who has committed or is likely to commit a violent subversive activity as prescribed in Article 4 of the Subversive Activities Prevention Act (Act No. 240 of 1952).

■ Contact Information PwC Consulting GK Business Succession Succession Assistance Program (Business Succession Trial) Executive Authority (subsidized entity) E-mail: jp_cons_trial_business_succession@pwc.com TEL: 050-6868-9832

■ URL https://trial-business-succession.jp/