Who will issue the MBA grant? MBA education for mere pittance: even Harvard “can afford it” Tuition discounts

A significant proportion of students abroad study in business schools for free - with grants from companies, investors or the state. In Russian business schools, sponsorship programs are just emerging.

A businessman from St. Petersburg Sergey Stepanov decided to get an MBA degree a year ago. At that time, Stepanov, who had a small IT company, decided that he had reached a ceiling in business and now he needed to "pump" himself, and at the same time acquire useful contacts in the entrepreneurial environment. Choosing between specialized Russian and foreign programs, Sergey settled on the latter. There was an opportunity to study for free. In addition to an internationally renowned educational brand, a foreign business school provided an opportunity to receive education under special grant programs.

Almost every European or American business school offers scholarships and grants to applicants that fully or partially cover the cost of training, and in some cases also living expenses. Schools participating in The Financial Times' top 20 rating have more than a hundred programs, financial support for which ranges from $ 5,000 to $ 30,000 per year. Students can receive grants for talents and abilities (merit-based) or due to monetary necessity (needs-based). A wide range of opportunities is open to socially vulnerable segments of the population and all kinds of minorities; special scholarships are issued based on gender and ethnicity (for example, grants for immigrants from third world countries or countries with developing economies).

About 60% of business school students in the world, according to the rector of the Moscow School of Management Skolkovo Marat Atnashev, receive financial support. For example, at Harvard College, 55% of all students, including business school, study on a college scholarship. Most often, large business, private investors (successful entrepreneurs and graduates of an educational institution), as well as educational institutions themselves act as sponsors of preferential education.

“Western business schools do not skimp on grants, because for them such programs are another full-fledged sales channel. Education of “free” students, as a rule, is paid by sponsors: large companies, private investors or the state, ”comments Andrey Kolyada, rector of the EMAS business school.

Russian sponsors are just learning

The cost of training in Russian business schools starts from 360 thousand rubles, but for most programs you will have to pay at least 500-700 thousand rubles. Joint educational projects with international schools will cost even more, especially after the collapse of the ruble.

At the same time, Russian business education cannot boast of a large number of sponsors. Corporations prefer to train employees at corporate universities. Successful entrepreneurs with the potential to support young talent can be counted on one hand. And the government does not seem to see much value in sponsoring MBA programs. There are many reasons for the lag of the Russian segment of business education from the global trend: here is the immaturity of domestic business, the unformed culture of educating and supporting talents, and the economic crisis.

“Differences with the West are rooted in fundamentally different approaches to charity as an element of civil society. The fate of the Russian "Dynasty" with its grants and scholarships is well known to everyone (Dmitry Zimin's family fund for social investments was included in the list of foreign agents in 2015 and stopped its work. - RBC +) ", - complains Sergey Filonovich, Dean of the Higher School of Management of the National Research University HSE.

Licia Tsarenko is one of 20 Moscow entrepreneurs whose studies under the joint MBA program of RANEPA and Kingston University London in 2014-2016 were sponsored by the Department of Science, Industrial Policy and Entrepreneurship of the city of Moscow. The grant covered 70% of the cost of the program, which included two field internships in the UK and Singapore. “I received a grant from the Moscow government easily: I submitted documents, passed an interview. The program turned out to be mega-useful, it helped me to improve my knowledge in the field of international business and reach a new personal and professional level, ”Tsarenko recalls. However, this government initiative was not continued.

Nevertheless, there are opportunities for training under grant programs in the Russian market. One such program is an MBA from Kingston University London and RANEPA with a grant of £ 1,500, funded by an English university. Another example of educational charity in Russia is the program of the Moscow School of Management Skolkovo, sponsored by the school's partners, including the founder of Wimm-Bill-Dann, David Yakobashvili, the head of the board of directors of Sibur, Leonid Mikhelson, as well as NOVATEK, “ M.Video ”, International Paper and B&N Bank. The amount of grants is up to € 30 thousand.

“We strive to contribute to the formation of future business leaders in Russia, to a change in the investment climate, to support the sustainable nature of business,” says Keith Townsend, President of International Paper Russia, which has supported the Skolkovo LNA's grant program since 2012.

During the existence of the program, the school received about 2,000 applications and received more than 50 grants, says Marat Atnashev.

“First, I filled out a detailed questionnaire with work experience, hobbies, achievements, a motivation letter, then there were serious tests, within which I had to solve various problems. Then an English test on grammar, listening, reading and speaking skills. The final stage is an interview with the founders of the school, ”says Vera Pronkina, owner of Studcloud.ru, who received an educational grant in 2016, recalls the stages of admission.

Cumulative effect

“The grant program is an opportunity to improve the quality of the MBA group, saturate it with talented people, which ultimately will have a positive effect on the level of education and the image of the school,” says Andrey Kolyada. However, according to him, in Russia the majority of schools pay grants out of their own money, hence such a small number of them. Not all business schools can afford it, especially in times of crisis. Since this year, the EMAS business school has also launched a grant program. The amount of financial support is 50% of the cost of Executive MBA training, or a little more than 360 thousand rubles.

Most industry experts see such programs as a good sign. Moreover, many large Russian companies and foreign players have already joined the development of this trend.

“Grants are not charity, but social investments, the effect of which we can see in five to ten to twenty years. Business leaders' support for grant programs is an indicator of their readiness to invest in the creation of the future business elite and the development of the Russian economy, ”notes Marat Atnashev.

Russian business will get stronger and will move from solving immediate problems to long-term strategic planning, an integral part of which will be investments in human capital, the EMAS rector is sure. “So far, macroeconomic conditions leave no other choice. Therefore, the process when the business goes to finance grants - companies will start to systematically attract talent, either directly through targeted grants, or through the promotion of the company as a grantor - this is a matter of the near future, ”says Andrey Kolyada.

The next step is information for applicants planning to receive an MBA in Russia: about grants, scholarships, discounts and educational loans.

General trends

There are two ways to save on training.

The first is to get a scholarship, grant, allowance.
The second is to use employers' funds and student loans.

Both the first and second financing options in Russia, as well as in the CIS market, are underdeveloped. Generally accepted global trends (compensation for the cost of MBA tuition for talented and low-income students) are just beginning to emerge in Russia, and then in a minimal amount.

Most schools pay grants and scholarships from their own money, so there are few such offers. Sometimes the scholarship fund is formed from the monetary contributions of investors and sponsors, donations from alumni, and receipts from international funds.

Many business schools do not even try to create and offer scholarships, but simply offer applicants discounts on tuition. The size of the discount is not comparable to the amount of a grant or scholarship, but it is a clear signal that the business school is ready to support and invest in promising students.

Tuition discounts

There are two types of discounts offered by schools - corporate and individual.

The first option is provided for corporate contracts, when, for example, 5-10 or more employees of the company enter the MBA program at once.
Individual discounts are provided upon a one-time payment of the full tuition fee, upon preliminary execution of the contract, for those who have previously received a bachelor's or specialist's degree in a particular educational institution. You can get a discount on recommendations, there are also regional discounts (for listeners living and working in the regions of the Russian Federation). In general, discounts help to reduce the cost of training by 5-25%. Discounts for distance programs can even be as high as 70%.

Discounts are available both in top Russian business schools and in lesser-known educational institutions.

School of Business "Integral" is ready to reduce the cost of MBA training by 25% for people with managerial or economic higher education.
The SUM Graduate School of Business gives a 15% discount for a one-time payment of the MBA program cost.
Moscow Business School pricing offers a flexible system of discounts for corporate clients: from 5% to 20% depending on the number of students.
AIBEc provides partial funding for students. The decision on this, as well as the amount of compensation, is made on an individual basis.
IBDA RANEPA offers a whole scattering of discounts: applicants on the recommendation of an IBDA graduate (5%), students from the Ural, Siberian, Far Eastern districts and Kazakhstan (5%), subject to full payment for the program (20%). Legal entities that have sent at least two employees for training can receive a discount in the range of 5-10%.
A systematic approach to discounts is also used at the MIRBIS business school. They have a reduction in the cost of training for students not from Moscow and the Moscow region, corporate discounts (up to 20%), discounts for MIRBIS graduates (up to 15%), discounts for a one-time payment (10%) and for applicants with minor children (5% ). The school also reduces the cost of education for students with an economic or management education and graduates of the President's program.

“The line of discounts for students of business schools is the best option,” says Fedor Fedorov, director of marketing and development of the MIRBIS business school.

“We are talking about the MBA program as an educational service; in my opinion, "Black Fridays", "sales" are still not very applicable, because are more suitable for goods sold in retail chains and online stores. MIRBIS closely monitors customer requests, which, as a rule, form a line of discounts, but this does not exclude special promotions. For example, on the occasion of the 30th anniversary of the MIRBIS business school, we launched the “Bring a friend” campaign, and for those applying for MBA in the fall, we launched a “Hot Summer” discount. It is not excluded that we will also offer non-price bonuses for those applying to our MBA program ”.

Grants and scholarships

The mechanism for financing MBA with scholarships is underdeveloped in the Russian market. But grants are much more developed.

In July 2018, RANEPA announced the second wave of grants for MBA and EMBA programs jointly with Kingston University London. Grants are designed for two-year MBA and EMBA programs for 2018-2020. in the amount of £ 1,500 and £ 3,000, respectively. It was necessary to send the documents and pass the entrance tests before August 20. As a result, in 2018 the business school issued four grants: two for £ 1,500 and two for £ 3,000.
The Moscow School of Management Skolkovo annually holds a grant competition ranging from € 15,000 to € 60,000. In 2018, applications were accepted until September 7. The selection of candidates takes place in three stages. First, a package of documents and an essay is prepared, and the Talent Q test (analogous to GMAT) is passed. The second stage is an interview with a representative of the school, the third is the defense of the author's project and the public decision of the business case. ...
EMAS Business School is presenting 10 grants of $ 1,500 each for the International Executive MBA program. You can choose full-time or part-time education, the school additionally pays for travel and accommodation in Moscow for nonresident students.
The grant competition is periodically held by the Stockholm School of Economics in Russia. So, in the fall of 2017, Executive MBA General Management programs were funded in English and Russian. The school covered up to 75% of the tuition fees. The competition for grants for the 2018-2019 academic year has not yet been announced.

Education loans

Russian business schools, as a rule, do not promote their own credit programs and rarely cooperate with credit institutions. Therefore, you will have to apply for an educational loan directly to the bank and without the mediation of the school.

Loan conditions depend on the size of the loan, the curriculum, work experience and income. Almost all banks offer preferential lending terms, when during their studies the student pays only interest on the amount issued. The body of the loan is paid at the end of the MBA program. Loan rates are higher compared to North America or Europe: 7.5-20% in Russia versus 3-7% in Western Europe and the United States. The loans are designed for 5-15 years.

Post Bank offers a credit program "Knowledge is Power", within the framework of which you can get 400 thousand rubles. for 8.5 years at 14.9% per annum.
Citibank offers a loan for education in the amount of RUB 1 million. for a maximum period of 5 years. Interest rate - from 12.9% to 20%.
Zapsibkombank offers an educational loan that will cover up to 80% of the cost of education. Loan term - up to 5 years, annual interest rate - 11.5%.
Until recently, Sberbank provided educational loans with government support at 7.5% per annum. The loan covered the full cost of the study, and the loan term was equal to the study period + 10 years. At the moment, the program is temporarily suspended.

The package of documents required for obtaining an education loan differs depending on the financial institution. Be sure to provide a passport of a citizen of the Russian Federation, a 2-NDFL certificate, an agreement with an educational institution. If a loan is issued against the security of property (real estate, car), then documents are needed to prove the ownership of such property. Some banks require a life and health insurance contract.

Dreaming of a stunning business career? In that case, it's time to think about an MBA degree. And, despite the fact that the cost of studying for MBA programs is often several times more expensive than regular education, many business schools provide opportunities to obtain a diploma for free or almost free of charge. This includes Harvard.

Why apply for an MBA

Why study for those who are already working? After all, one of the requirements of MBA programs is a minimum of 3-5 years of work experience. In fact, education in this case opens up new career prospects.

An MBA education will help you retrain if you want to change your field or become a specialist in several of them. In addition, there are also narrow specializations for the study of specific industries (for example, finance, marketing, media business, etc.)

Also, an MBA is an excellent base to become a good leader and study the field of business and business administration. For many world-renowned companies, having an MBA degree is one of the most important criteria when recruiting personnel for management positions.

And, MBA - this is useful contacts and connections, both teachers and other business participants.

And now about how not to spend a fortune on MBA education. Scholarships!

University of Westminster, UK

Westmister Business School provides scholarships that cover 20 to 75% of the tuition fees. Preference is given to professionals working for non-profit organizations. There is also a 50% stipend for women. Program start: January 5, 2015, total tuition fee: £ 11,500. In order to be nominated for a scholarship, you must be enrolled in the university and send an application with a motivation letter by mail.

University of California, USA

UC Haas School of Business 2-Year Scholarships for International Students. Deadline for admission: March 12, 2014, scholarship application deadline: April 8, 2014. Last academic year, the school allocated approximately $ 5.5 million in funding for student education.

HHL Leipzig Graduate School of Management, Germany

Provides scholarships for foreigners for Full-Time and Part-Time MBA Programs, the admission requirements include the result of the GMAT exam (result at least 650 points) and a good level of grades of first education. The application deadline is April 6, 2014.

ESMT, Germany

Another opportunity to get an MBA degree for free in Berlin. All students who enroll in the full course of the program are automatically considered for a scholarship. From the requirements - good knowledge of English. Scholarship of 58,000 euros: covers flights, insurance, accommodation, tuition. Application deadline is September 2014.

Erasmus University, Netherlands

Scholarship of € 10,000 for a two-year Full-Time Program at the Rotterdam School of Management. The total cost of training is 34,000 euros. Start of training - January 2015. Application deadline - October 1, 2014.

MIB School of Management of Trieste, Italy

Scholarship for foreigners under 27 years old (as of August 30, 2014), with a minimum of three years of work experience and an academic degree, as well as good knowledge of English (it is recommended to provide a TOEFL, IELTS certificate). The scholarship covers 50% of the tuition fees. The application deadline is July 31, 2014.

Harvard Business School, USA

$ 80,000 for a two-year business administration program at Harvard Business School from the Boustany Foundation. The scholarship also covers travel and accommodation costs. The application deadline is May 31, 2015. Tuition fee is $ 95,100. Total: a Harvard MBA will cost $ 15,000, fantastic!

These 7 scholarships for next year are far from the limit of opportunities for free (or significantly cheaper) education in world universities and business schools. You just need to set a goal and find the perfect offer for yourself.

Russian sponsors are just learning

During the existence of the program, the school received about 2,000 applications and received more than 50 grants, says Marat Atnashev.

Cumulative effect

Most industry experts see such programs as a good sign. Moreover, many large Russian companies and foreign players have already joined the development of this trend.

(10 estimates, average: 4,60 out of 5)

First, let's figure out what an MBA is and who can get this education.

The Master of Business Administration (MBA) is an international educational program for people who work in management and business. At the end of this kind of school, a person is awarded a qualification degree, which makes it possible to find a job in European and American governing bodies or to continue working in their country, but at a new level.

Free MBA qualification

MBA business schools operate in almost every developed country in the world. Studying in them is not a cheap pleasure, therefore many specialized educational institutions hold competitions that give the most gifted applicants the opportunity to obtain an MBA qualification free of charge.

As a rule, a scholarship is awarded for a person's talent in the field of management, since the main task of MBA training is to improve the already existing practical skills of a young specialist.

The main selection criteria are not only a diploma with good grades, but also experience in management and strong motivation of the candidate.

It is worth noting that MBA training can be completed remotely, without leaving your country, on the basis of an online platform. This opens up great prospects for all categories of managers, since it does not require financial security.

To take part in the MBA scholarship program, a young leader needs to find a good option for himself among hundreds of proposals. As a rule, the terms of grants indicate information for whom they are intended: for graduates or already working, top managers or for entry-level managers, etc.

In this case, funding for your MBA training falls on the shoulders of sponsors, which are often banks, schools themselves or leading business companies.

Where to study MBA for free

To obtain an MBA qualification for free (i.e. through a scholarship or grant), most often a candidate will need to write a short essay of 500 words in order to convince the panel that your business idea is thought out and is needed by humanity.

Specialized schools that train MBA specialists annually hold such competitions in order to select the best students, help people with financial difficulties climb the career ladder and attract foreign specialists from the field of management to their country.

Chicago Booth

Chicago Booth is one of the largest and most prestigious schools that specializes in business education. All scholarships are awarded to program participants according to the following criteria:

personal achievements of the candidate;
interview results;
competitiveness;
work experience in the field of business and management;
goals and ideas of the candidate.

Chicago Booth Merit-Award Scholarship

Each year, the Chicago Booth committee awards a scholarship to the best candidates based on a competitive selection process. The committee identifies students who have excelled academically, have work experience and are well motivated.

George Stigler Scholarship

This scholarship is named after the Nobel Laureate in Economic Sciences. George Stigler was one of the great economists of the 20th century. Therefore, financial support is received by graduate students who have achieved success in areas where Stigler's work was significant, for example, business, law or economics.

These scholarships are awarded to students who demonstrate outstanding leadership, academic, and extracurricular achievement.

Learn more about all Chicago Booth MBA grants on the official website of the business school.

INSEAD

INSEAD is a famous French business school that every respected businessman has heard of, as this is where you can get your desired MBA qualification.

INSEAD Scholarships are the most sought after source of financial aid among college students. They are limited in number, so the best of the best compete for each award.

INSEAD International Students Scholarship (IAF)

Scholarship size - € 13,000

It is an Alumni Foundation scholarship designed to support the diversity of program participants by nationality, race, religion and gender. The advantage of becoming a scholarship holder is for candidates from the developing countries of the world.

INSEAD Forte Foundation Fellowship

Scholarship size € 10,000-15,000

This is one of the scholarships awarded exclusively to women. Its goal is to attract as many women as possible to the business sphere.

Forte candidates must demonstrate leadership in teaching, leadership, team organization, and project work.

More scholarships from INSEAD Business School.

London Business School is one of the top three business schools in the world. Professional speakers and teachers reveal business secrets to their students. Thanks to scholarship offers, absolutely any aspiring businessman can become her student.

First of all, graduates or young managers who wish to obtain an MBA qualification degree for free should choose a country in which they would like to get an education and possibly stay to live. It also makes sense to inquire about food and living expenses in this country, as not all scholarships and grants cover them.

Once you've decided on your government, start looking at information about MBA grants and scholarships. It is usually posted on the official websites of educational institutions offering MBA training, in the "Scholarships" section, or on third-party sites offering aggregated data for all countries, like a site.

Since there are a lot of offers to study business under the MBA program for free for graduates and young managers, it makes sense to compete for their place in a business school, even for those who do not really believe in their victory.

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