The number of young people between the ages of 15 and 29 in the NEET position (Eng. NEET Neither in Employment nor in Education and Training) in the third quarter of 2022, according to the Labor Force Survey, was about 169 thousand. This indicates that every sixth person in Serbia between the ages of 15 and 29 did not have their place in the labor market nor did they prepare for the labor market in any way, and represented a completely unused human resource.
In accordance with the strategic determinations of the Government of the Republic of Serbia regarding economic development, the challenges faced by young people on the labor market, as well as the work experience and expertise of the Institute for Development and Innovation and Junior Achievement in Serbia, all with the aim of promoting entrepreneurship among young people proposed is a measure of economic policy that defines a youth company.
The youth company is not a new legal form, but uses the existing legal form of a lump-sum entrepreneur, which allows the existing laws in the Republic of Serbia not to be changed and not to be exempted from paying taxes. Reimbursement of lump-sum monthly obligations would be made from the funds of one of the existing budget users, for a maximum of one year and up to the amount of income of the entrepreneurial lump-sum business up to 1,200,000 dinars, all in order to minimize possible abuses of the youth company. Through the implementation of this measure of economic policy, young people would be encouraged to entrepreneurship because there would be no obstacle in the form of financial resources needed for monthly flat-rate obligations in the first months of business.