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A14 LOCAL
Saturday 6 January 2018
Chamber of Commerce Survey Shows Different Motives for Businesses to Close

ORANJESTAD– During 2017
the Chamber of Com-
merce and Industry Aruba
(KvK) collected and ana-
lyzed data to acquire the
motifs for businesses to
close down. This would be
the first time that KvK car-
ried out a survey with this
goal. The business owners
were asked to visit the KvK
to withdraw their registra-
tion and share their motifs
for closing down their busi-
ness, naturally with all dis-
creetness.

In the past year KvK regis-
tered a total of 1350 new
businesses and 715 busi-
nesses that cancelled their
registration for some rea-
son. A cancellation of a
KvK registration is prosecut-
ed whenever the business
is closed or liquidated by not visit the KvK to cancel way, offering the wrong to have residence in Aru- high costs and lack of fi-
owner. The number of off their registration, so they product for the market or ba. The working structure is nances.
shore registered businesses will remain registered as carrying out a non-attrac- much more flexible, there Strong competition in the
is 76, while 639 are regis- being an active business tive price policy. is for example no minimum market (9 %), health prob-
tered on shore with location while in reality they are 18 percent of the business- of capital required and lems (6 %), business permits
on the island. The group of not. KvK constantly reminds es cancelled their registra- you are free to choose the (3 %), fixed work or study
businesses contains 105 their registered businesses tion because of change language for the decrees: (2 %) and no time to dedi-
NV’s (limited liability com- to cancel their registra- of their legal entity. A lot Papiamento, Dutch or Eng- cate to the business (1 %)
panies), 502 Eenmanszak- tion whenever the business of businesses started out lish. A civil notary will reg- are other reasons named
en (sole proprietorships), 18 stops. If not, the KvK has the as sole proprietorships, to ister the VBA but changes to cancel registration.
VBA’s (variant of Limited Li- right to bill the yearly contri- see how it will work out and within the constitution of KvK always offers help to
ability Company), 73 AVV’s bution that all existing busi- also because a limited li- the company do not nec- business owners with work-
(company with a special nesses need to pay. On top ability company requires essarily need to go through shops, commercial events
tax regime, applicable for of that the tax office will time and costs. a notary. and other stimulating ac-
off shore businesses) and continue charging taxes Most of the businesses 16 percent of the business tivities for businesses. An-
17 other business models. upon the company. changed into a VBA be- owners informed that the other goal of the KvK is to
It is relevant to take into The results of this study indi- cause of the benefits and high costs to keep their eliminate the ‘red tape’
consideration that this out- cate that a total of 30 per- flexibility that go beyond a business active are a rea- for entrepreneurs to start
come gives an idea of the cent of the businesses were Sole Proprietorship or NV. son to close down. 13 per- their business. KvK will con-
businesses that are no lon- canceled in 2017 because One of the biggest ad- cent states it is due to lack tinue studying the informa-
ger active, but it is not a of the lack of commer- vantages of a VBA is that of financial sources, that tion that came out of the
conclusion of the total ac- cial activity. This could be you can start this business makes that 29 percent of research and will proceed
tual status. There is a num- caused by running a com- model without a partner- the businesses cancel their supporting businesses in
ber of businesses that did pany in an inadequate ship, the only condition is registration because of Aruba.q

University of Aruba Congratulates Ngo Chun Luk

ship Schemes of China, in Aruban Law with honors.
Paradise in the Caribbean India and Suriname, at He also holds a master’s
Maastricht University. He degree in International Law
wrote his dissertation un- from Maastricht University.
der the supervision of prof. He conducted his PhD re-
dr. Gerard-René de Groot search at the Centre for
(professor emeritus of Com- European Policy Studies
parative Law and Private (CEPS) in Brussels (Belgium),
International Law at Maas- as part of the TRANSMIC
tricht University and profes- project which is coordi-
sor of Private Law at the nated by Maastricht Uni-
ORANJESTAD - Recently, University of Aruba) and dr. versity and funded by the
Ngo Chun Luk, an alumnus Sergio Carrera (associate European Commission’s
of the Law Faculty of the professor of European Law Marie Curie actions. Chun
University of Aruba (UA), at Maastricht University). Luk still works at CEPS as a
successfully defended his Chun Luk studied law at the researcher. The UA is very
dissertation, entitled Dias- UA from academic year proud of Chun’s achieve-
pora Status and Citizenship 2008/2009 until 2012/2013 ments and we wish him
Rights.
SALES OFFICE +297 2801005 info@leventaruba.com A Comparative-Legal and received his bache- the best in all this future en-
MOBILE +297 5927275 www.leventaruba.com Analysis of Quasi-Citizen- lor’s and master’s degree deavors. q