Two years after the Law to Strengthen Entrepreneurship came into force in Guatemala, only 40 companies have been registered under the figure of Entrepreneurship Companies, a situation that is partly explained by the lack of incentives provided by the legal framework.
According to Guatemalan authorities, with the entry into force of the Law, entrepreneurship will be incorporated in primary and secondary education, and a new figure called Entrepreneurship Society (SE) will be created, among other actions.
The legal framework has been in force for two years, however, the results have been very poor. Data from the Commercial Registry specify that during 2019 17 SEs were registered and in 2020 the figure rose to 23 SEs.
David Casasola, economic analyst and member of the Global Entrepreneurship Monitor (GEM) team for Guatemala, told Prensalibre.com that "... the low figure is a reflection of the lack of incentives for more entrepreneurs to opt for this figure, added to the lack of information and advice from the Ministry of Economy. The fact that there is now an additional figure that is the SE is not a significant enough incentive for many of the entrepreneurs who have been operating for years without registering to do so now."
Johann Hartleben, partner of the firm Legalsa, explained that due to in the country newest companies belong to the consumer sector, "... it has prevented more entrepreneurs from registering under that figure (SE), because it encloses the object, that is, the business model must be framed in a theme of innovation that is far from the reality of most businesses in the country."
There are other aspects that discourage entrepreneurs from registering, such as the publication of annual income statements, since this is a sensitive issue due to security issues, according to Hartleben.
In Honduras, Congress extended for two more years the validity of the Law to Support Micro and Small Enterprises, which grants benefits such as exemption from payment of income tax and other taxes.
To opt for the benefits granted by the law, interested parties must process their permits, national and municipal licenses for its operation, reports a statement issued by Congress.
On January 29, the Law to Strengthen Entrepreneurship came into force, which includes creating training centers and facilitating access to credit for small businessmen.
Guatemalan authorities reported that with the entry into force of the Law, will incorporate entrepreneurship in primary and secondary education, in addition to creating a new figure called Entrepreneurship Society, among other actions.
With the entry into force of the reform of the Guatemalan Commercial Code, from today a company can be incorporated with $28.
The modifications that already apply were published in the Diario de Centroamérica on October 31, 2017. Among the most important changes is the reduction of initial capital for the creation of a company, going down from Q5 thousand ($681) to Q200 ($28).
Employers point to the thick web of paperwork that must be traversed in Costa Rica if you want to start a new business.
From a press release issued by the Costa Rican Union of Chambers and Associations in the Private Business Sector (UCCAEP):
Most entrepreneurs, according to the latest data from the Survey "Business Pulse" by the Costa Rican Union of Chambers and Associations of Private Business Sector (UCCAEP) indicate that in Costa Rica there are a number of constraints to the initiation of a new business in the country.
×
ok
6931Government Procurement Opportunities in the region
español
6931
