This paper explores one of the current issues in the Republic of Croatia as well as the entire European Union. The European funds are analyzed within the framework of this paper. Although the public most intensively discusses about the European structural and investment funds, it is considered to be equally relevant to explore pre-accession funds of the European Union. This was especially manifested in the period of the candidacy of the Republic of Croatia for entry into the European Union. The paper explores the meaning, financial abundance and purpose of these funds, as well of the European Union programs. Particular emphasis is placed on the importance and role of these instruments for improving entrepreneurship with regard to the Republic of Croatia. The ultimate goal is to confirm their economic, social and ecological importance. In order to substantiate the theoretical knowledge, the paper analyzes the utilization of EU funds in Croatia. There is an individual analyse of the pre-accession funds and European structural and investment funds.