Small Business Essay

Small Business Essay-52
Many factors are attributed to different economic levels, different sectors of the economy, and generally identified by comparison with other companies at a higher level, this being evidenced when it determines that these companies do not occupy a dominant position and its capital is reduced in relation to industry that operates.The difficulties, however, do not hinder efforts to defining ways to classify these companies in a satisfactory manner, through the selection of features common in certain groups seeking to find alternatives to this systematization.From that point will be addressed Social Function of Company, is the fact that according to this research suggests that, because we will analyze the importance of ME and EPP for the economy as regards the fight against informality.

A small company in an industrialized country may be average in a developing country, and regarded as a small company in the industrial sector may be average in the trade if we assume only the number of employees for example. According to the ILO, the ME and EPP are: "Companies, whatever their activity and legal form to adopt, is personally run by its owners, has a small staff, it occupies a dominant position in its industry, does not have high economic resources, the value of its annual turnover and its capital is reduced with respect to the economic sector where it operates, is not directly or indirectly linked to the major financial groups, although it may have relationships with other large companies, non-legally depends on them.

"(Ignatius, 2005) With this definition quoted it appears that there really is some imprecision of classification criteria.

Understanding how the institution of ME and EPP can provide extremely positive results in combating informality.

The relevance of this research lies in the fact that informality in the country today has resulted in damage to both the collection and for workers' rights.

The concept of informality, as will be shown during this survey covers more than just the picture mentioned above, informality can be linked to illegal practices related to tax evasion, to obtain advantages for financial gain through the failure to fully respect the laws taxation.

The research, however, focuses only on informal work as a marginalized economic activity that causes damage to the country and workers.Finally, we will stick to the informality that can be lowered, or as suggested by the title of the research, countered by the incentives, preparation, creation of a structure more favorable to the proliferation of Micro (ME) and Small Business (EPP) by encouraging entrepreneurship and the solidification of a system that allows creation and especially the survival of these companies.These companies that have great potential for growth of formal employment, enabling a more equitable revenue and giving the guarantees essential to the tranquility of Brazilian workers.Next will be described and commented on the General Law of ME and EPP allowing you to see the peculiarities that these companies have the legal aspect.In the same vein the survey also includes a brief history of the ME and EPP to better understand the context in which these companies have sprung up allowing also to understand how all this reached significance in the world and also in the country.The different areas of business, different need of skilled labor in relation to the productive sector that fall and the volume of production and the different economic levels of countries extend the challenge in defining an efficient and accurate classification companies.This implies that if employed such classifications, it should be noted the economic sector in which the company develops and the degree of development of society in which it is inserted.Some actions by the government are described and the need for change.This research then aims to address the micro and small businesses as an alternative to combat informality in Brazil and its negative effects.One of these alternatives like a better solution of the problem of definition of ME and EPP modes using two different classification based on qualitative and quantitative criteria.From the qualitative point of view, we have the EPP ME and its management and direction are concentrated in the hands of the entrepreneur.


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