Micro and small companies stand out in job generation in 2022
In an interview to the state radio program A Voz do Brasil on Wednesday (Oct. 5), when the micro and small companies day is celebrated, the special secretary of Productivity and Competitiveness of the Ministry of Economy Alexandre Ywata pointed out that this sector is responsible for 72 percent of the almost 1.9 million jobs generated in 2022.
He also said the service sector is the strongest one among micro and small entrepreneurs, accounting for about 50 percent of them, while trade comes in second place, with about 30 percent.
In Brazil, 99 percent of all companies are micro and small, including individual microentrepreneurs (MEI). In all, there are about 20 million companies, and 14 million of them are MEI.
Bottleneck
According to Ywata, one of the country's biggest bottlenecks regarding entrepreneurship was the time it took a person to create a company, but this has been improved. "Nowadays, you can do it on average in 23 hours. The fastest state is Sergipe, and if we look at the capitals, Recife is the fastest one where a company can be created, in average within 3 hours".
The secretary also mentioned the Economic Freedom Law, which identified 300 activities considered low risk. He explains that in this case, there is no need for permits, for example, from the national drug regulator or fire department, to open a company in these areas.
The opening of credit lines through the National Program of Support to Micro and Small Companies (PRONAMPE) has also been mentioned by the secretary as a progress for this sector. They have benefited about 350 thousand companies with BRL 36 billion credit.
