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DRC: why formalize its Small and Medium Enterprise (SME)?

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DRC: why formalize its Small and Medium Enterprise (SME)?

Formalizing its Small and Medium Enterprise (SME) is more than paramount. The appeal was thus launched during the first day of sensitization and organized outreach, this Tuesday, July 30, 2019 at the Protestant University in Congo, by the National Agency for Investment Promotion (ANAPI) in partnership with ESSOR.

Surveys have revealed that SMEs in the DRC are evolving more in the informal sector. Hence, this difficulty to have reliable statistics on their number. Several reasons justify this lack of enthusiasm for SMEs to leave the informal sector for the formal.

Asphyxia tax drives these entrepreneurs whose activities evolve in a context of economic fragility without a profitable economic model in the long run to escape any kind of tax.

Unfortunately by escaping, they find themselves in a kind of legal uncertainty. They become the prey of some corrupt agents of the public administration who get rich on their backs. Therefore, they also miss many facilities offered by the state yet set up in their favor.

There is also ignorance of the advantages granted to them by the Investment Code in force in the DRC in order to allow them to exercise their activities in the peace and simplification.

« By being in the informal, they can not in any case benefit from the benefits that the government gives to the emergence of SMEs. Nor can they benefit from compensation in the event of a natural disaster or not. Hence the urgency and the need for these SMEs to formalize, « said a sensitizer ANAPI.

During this awareness day, panelists demonstrated why, how to start a business? By creating, one must also understand « formalize ».

Three reasons to formalize your SME?

First, to be safe from insecurity. Then, to build confidence and gain the trust of others. And finally, for fiscal citizenship.

How?

By contacting the Guichet Unique Business Creation Office (GUCE), the contractor can obtain all documents within three days. And he will have to pay close to 90 USD for the companies and nearly 40 USD for the establishments.

Where to start a business?

It is possible to do it everywhere across the DRC. Currently, the Single Window of Business Creation (GUCE) has branches in some cities of the country. But, thanks to the partnership with ESSOR, it will be deployed everywhere even in the most remote corners of the country.

Nadine FULA

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