Professional Documents
Culture Documents
Starting a Business
Economy Starting a Business Rank 93 106 27 2 173 3 1 68 Procedures Time (days) Cost (% of income per capita) 1.9 4.9 0.9 0.7 49.8 0.4 0.4 2.8 Paid-in min. capital Luxembourg Germany France Australia India Canada New Zeeland Romania 6 9 5 2 12 1 1 6 19 15 7 2 27 5 1 10 20.9 0.0 0.0 0.0 140.1 0.0 0.0 0.8
Doing Business measures the procedures, time and cost for a small to medium-size limited liability company to start up and operate formally. To make the data comparable across 185 economies, Doing Business uses a standardized business that is 100% domestically owned, has start-up capital equivalent to 10 times income per capita, engages in general industrial or commercial activities and employs between 10 and 50 people within the first month of operations.
Luxembourg
Germany France Australia India Canada New Zeeland Romania
33
14 52 11 182 69 6 129
12
9 9 11 34 13 6 15
157
97 184 112 196 163 89 287
19.2
48.1 68.0 13.4 1528.0 64.1 29.8 79.1
The Dealing with Construction Permits indicator records all procedures required for a business in the construction industry to build a standardized warehouse. These procedures include submitting all relevant project-specific documents (for example, building plans and site maps) to the authorities; obtaining all necessary clearances, licenses, permits and certificates; completing all required notifications; and receiving all necessary inspections.
Getting Electricity
Economy Getting Electricity Rank Procedures Time Cost (% of income per capita)
5 3 5 5 7 8 5 7
Registering Property
Economy Registering Property Rank Procedures Time Cost (% of property value) Luxembourg Germany France Australia India Canada New Zeeland Romania 134 81 146 37 94 54 2 72 8 5 8 5 5 6 2 8 29 40 59 5 44 17 2 26 10.1 5.7 6.1 5.1 7.3 3.4 0.1 1.2
The Registering property indicator records the time, cost, and full sequence of procedures necessary for a business (buyer) to purchase a property from another business (seller) and to transfer the property title to the buyers name so that the buyer can use the property for expanding its business, use the property as collateral in taking new loans or, if necessary, sell the property to another business.
Getting Credit
Economy Getting Credit Rank Strength of Legal Rights Index (0.010) 5 7 7 10 8 7 10 9 Depth of Credit Information Index (0-6) 0 6 4 5 5 6 5 5 Public Registry Coverage (% of adults) 0 1.3 42.4 0 0 0 0 14.0 Private Bureau Coverage (% of adults) 0 100 0 100 14.9 100 100 44.9 Luxembourg Germany France Australia India Canada New Zeeland Romania 159 23 53 4 23 23 4 12
The Legal Rights indicator measures the strength of secured transactions systems in 185 jurisdictions. One of its main premises is that the strength of creditor rights correlates to the availability of loans. When lenders have better legal protection during bankruptcy and reorganization of the debtor, they become more confident about the return of their investment in cases of default and therefore more willing to extend credit on favorable terms.
Protecting Investors
Economy Protecting Investors Rank Extent of Disclosure Index (010) 6 5 10 8 7 8 10 9 Extent of Director Liability Index (010) 4 5 1 2 4 9 9 5 Ease of Shareholde r Suits Index (010) 3 5 5 7 7 9 10 4 Strength of Investor Protection Index(0-10) 4.3 5 5.3 5.7 6 8.7 9.7 6
128 100 82 70 49 4 1 49
The indicator measures the strength of legal protections of minority investors against misuse of corporate assets by company directors for their personal gain. Investor protections matter for the ability of companies to raise the capital needed to grow, innovate, diversify and compete.
Paying Taxes
Economy Paying Taxes Rank Payments (number/year) Time (hours/year) Profit Tax (%) Labor Tax and Contributions (%) Other Taxes (%) Total Tax Rate (%profit)
14 72 53 48 152 8 21 136
23 9 7 11 33 8 8 41
How does the paying taxes indicator count procedures? The tax payments indicator reflects the total number of taxes paid, the method of payment, the frequency of payment and the number of agencies involved for this standardized case during the second year of operation
5 4 2 6 9 3 5 5
7 7 9 9 16 7 10 12
4 5 2 7 11 4 6 6
7 7 11 8 20 11 9 13
Why the high cost and long delays? The reasons include poor infrastructure, multiple checkpoints and the cumbersome administrative process of trading. Doing Business measures the time and cost (excluding tariffs) associated with exporting and importing by sea transport, and the number of documents necessary to complete the transaction.
Enforcing Contracts
Economy Enfrocing Contracts Rank Time Cost (% of Claim) Procedures (number) Luxembourg 1 321 9.7 26
Germany
France Australia India Canada New Zeeland Romania
5
8 15 184 62 17 60
394
390 395 1420 570 216 512
14.4
17.4 21.8 39.6 22.3 27.2 28.9
30
29 28 46 36 30 32
What does the Enforcing Contracts indicator measure? The three indicators on enforcing contracts (procedure, time and cost) measure the efficiency of the judicial system in resolving a commercial dispute.
Resolving Insolvency
Economy Resolving Insolvency Rank Time (years) Cost (% of estate) Outcome (0 as piece meal sale and 1 as going concern) 0 1 0 1 0 1 1 0 Recovery Rate (cents on the dollar)
52 19 43 18 116 4 13 102
15 8 9 8 9 4 4 11
DB 2012: Romania amended its insolvency law to shorten the duration of insolvency proceedings. DB 2011: Substantial amendments to Romanias bankruptcy lawsintroducing, among other things, a procedure for out-of-court workoutsmade dealing with insolvency easier. DB 2010: Romania amended its insolvency law with the immediate impact of increasing costs of insolvency procedures by 1.5%, which are to be transferred to a fund that reimburses the expenses of insolvency administrators in cases where the debtor has no assets.