At Impact CEE, the panel “Small Business at the Crossroads: Big Challenges, Bold Opportunities” examined how Romania’s small business ecosystem is navigating digitalization, financing, and sustainability. Moderated by Zsuzsanna Bodi (Caribou), the discussion featured Cătălina Bănuleasa (IdeaMorph), Andrei Dănilă (Code932), and Cătălina Plinschi (Fagura).
Drawing on fresh insights from the Romania Small Business Transition Study, the panelists explored how SMEs can overcome barriers and seize opportunities in the years ahead.
The digitalization dilemma
Digital adoption is one of the biggest challenges. Survey data showed that eight out of ten small businesses plan to invest in digital tools in the next year, yet a third remain digitally unengaged.
Andrei Dănilă explained why: “In small businesses, the decision-maker is usually the founder or a very small team. They already face multiple problems daily. Solutions must be extremely clear: here’s the problem, here’s the solution, here’s the price. Complexity is the main barrier to adoption.”
Dănilă advised startups building products for SMEs to stop overselling dreams and focus on simplicity. “Be clear and help clients decide quickly. Time is the scarcest resource they have.”
AI: gap or opportunity
While 80% of SMEs plan digital investments, 40% are not considering AI, citing lack of skills, costs, and privacy concerns.
Cătălina Bănuleasa argued that the issue is perception. “AI feels overwhelming because it’s everywhere, creating pressure and anxiety. But technology should work for people, not the other way around. The focus should not be on AI itself, but on the problems being solved. If you integrate AI seamlessly into existing tools, it becomes less intimidating and far more useful.”
She added that ecosystem actors such as incubators, chambers, and even big tech firms, must do more to bridge the gap between small businesses and technology providers.
Financing the future
Access to finance remains a structural barrier. According to the study, fewer than half of SMEs applying for funding succeed.
Cătălina Plinschi stressed the urgency: “Ninety percent of enterprises are SMEs, yet 70% fail within five years, not from lack of ambition, but from lack of access to finance and support. Bureaucracy and bank processes take too long. SMEs need capital now, not months later.”
She positioned Fagura’s peer-to-peer lending model as a solution: “Crowdfunding is community-driven. It provides not just capital, but also validation for products. It can be the future of SME financing if adapted to market realities.”
Building the ecosystem
Panelists agreed that Romania’s ecosystem for supporting SMEs is still underdeveloped. Bănuleasa noted: “We don’t have much experience in growing startups or small businesses, and collaboration is still weak. We need actors who can bridge large corporations and small startups, helping each side understand each other’s problems and build proofs of concept together.”
Plinschi added that financing platforms can play a role as partners, especially for very young startups struggling to find their first clients.
Sustainability and global trends
Looking ahead, sustainability emerged as another key driver. Eight out of ten SMEs are already using eco-labels or certifications.
Plinschi pointed to the EU Green Deal as a defining trend. “It will shape the future of small businesses in Romania by pushing them toward greener practices and standards.”
Dănilă emphasized digital adoption and community building: “Competition is pushing digitalization forward. At the same time, a new generation of entrepreneurs is mature enough to support the next one. This transfer of knowledge will be vital for resilience.”
At the crossroads
The panel concluded that Romanian SMEs stand at a crossroads. They face significant challenges like digital gaps, financing bottlenecks, regulatory burdens, but also bold opportunities in AI integration, crowdfunding, and sustainability.
As Bănuleasa summarized, the key is simplicity: “Make technology easy, make financing accessible, and small businesses will thrive. If we get out of their way, they will do the rest.”
