Challenges of Doing Business in South Africa

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Challenges of Doing Business


Starting a business

Starting a business is a long process in sub-Saharan Africa and may cost a significant part of the per capita income. It is part of South Africa, although it is less than 0.3% of per capita income, compared with over 60% in other parts of the continent.

Building permits

The cost of building permits is also very low in South Africa. Taking 13 procedures and 127 days, this is also a relatively silent process, although several steps need to be taken.

Getting electricity

This is a major business problem in South Africa, it lasts 226 days and includes a series of extended procedures. Eskom, an energy company, may take 60 days to provide an estimate and 165 days to complete its external work.

Registration of property

It takes 23 days and 6 procedures for registering of South Africa business company property, which can vary significantly depending on how quickly and easily you can get the local authority certificate and how much time it takes to transfer files to the object register.

Receiving loans and protecting investors

South Africa is the world's first in order to facilitate lending, according to the World Bank and the IFC, and has good structures to protect investors.

Paying taxes

The payment of taxes takes 200 hours. Corporate taxes and unemployment insurance contributions (UICs) are the two most difficult procedures, the first being the most expensive.

Trade across borders

It is well known that South Africa is difficult to conduct transactions abroad, but important steps are taken to overcome the difficulties in cross-border trade. This is a cost-effective but long-lasting and convincing document.

Contract implementation

Court proceedings and court decisions can, on average, take 500 days to execute contracts in South Africa, and lawyers and court fees can make the procedure a costly test.

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