SME Status Check

How is the status of an SME determined?

Micro, Small and Medium Enterprises (SME) are business categories based on the number of employees and the financial performance of the enterprise. The specific status is determined by the definitions set out in Annex 1 to European Commission Regulation (EC) No 800/2008.

• Micro enterprises - is the smallest category of SME, typically consisting of 1-9 employees and less than EUR 2 million turnover or balance sheet value per year.
• Small enterprises - is a category of SMEs, typically consisting of 10-49 employees and up to EUR 10 million turnover or balance sheet value per year.
• Medium-sized enterprises - is a category of SMEa, typically consisting of 50-249 employees and up to EUR 50 million turnover or up to EUR 43 million balance sheet value per year.
• Large enterprises - are enterprises with more than 250 employees or with a turnover of more than EUR 50 million and a balance sheet value of more than EUR 43 million per year.

To determine whether an enterprise is a trader, information on the number of employees, turnover and balance sheet total must be taken into account. If the company has not yet completed a year, information on its activities in the most recent period (operating statement) should be taken into account. Information on partner companies and associated companies should also be taken into account.

Related enterprises are enterprises controlled by the same persons and operating wholly or partly in the same or in an adjacent market. Adjacent markets are those which are close to the relevant market. In order to examine the relationship between enterprises, account is taken not only of their members, but also of their officials, such as members of the board of directors, and their representational rights.