The increase in the number of companies and their development in rural areas depends mainly on the environment in which they operate and the factors influencing it. Hence it is very important that rural entrepreneurship is supported by the local authorities because not only development of SMEs but also development of the entire region depends on the right combination of government policy and company policy. Local authorities have at their disposal a number of instruments to support entrepreneurship. Using them provides possibility of long-term development, allows an increase of competitiveness and obtaining success on the market. Local authorities should therefore be aware that in addition to implementation of the ongoing tasks, special attention should be given to supporting development of the existing companies and taking initiatives to create new ones. Such action of the community in using previously thought strategies and endorsed by a carefully analyzed plan of action is a foundation for long-term economic growth of the region which positive effects have an impact on the entire community.