We all have to pay taxes. Not only is it a requirement in practically all areas where governments reside, but taxes allow localities to grow and maintain their infrastructure. Due to the complications and how expensive taxes are in Brazil, this makes it difficult for your average company. The larger the company, the more tax benefits it in turn has, while the smaller companies are thrust into a differentiated tax regime. According to entreprener Flavio Maluf, the average number of days to open a company in Brazil is extremely high in comparison to the United States. For instance, in Brazil it takes on average, around 107 days to open a business. The United States enjoys a five day wait time in most conditions. Learn more about Flavio Maluf at InfoMoney.
The tough part is when regulations and specific certificates are thrown into the mix. When one takes these additions into account, you can be sure to expect delays to be greater when trying to accomplish said goals. Flavio goes into money matters, and reminds business owners and entrepreneurs alike that no one can open a stable, profitable business without some financial planning. With that being said, the myth is still floating around out there that a potential investor, or entrepreneur needs to have a lot of money to start a business. There are many business models of the type where a great deal of capital isn’t needed to start up and be successful.
Opening a company in Brazil is not the easiest according to World Bank reports, and even common knowledge. Flavio Maluf has reason to celebrate, due to the fact his company Eucatex and Duratex have confirmation that they will do business with each other in the near future. While Eucatex will give a farm in Capao Bonito, they will in turn receive a production line for thin sheets of wood in Botucatu. All of this change means a lot for Maluf, and of course Eucatex as a whole. While the plant has 280 employees, Duratex will be resuming production at its factory in Itapetinga. It has been stated that the re-inaugartion will take place in April of 2018.