Most entrepreneurs work ten hours a day, which means they work 21% more than full-time employees in Romania and as much as Romanian beginner entrepreneurs, as 20% of them overshoot the limit of ten hours of work.
The study shows that 70% of respondents indicate the lack of a clear, correlated and stable fiscal and legislative framework, coupled with bureaucracy and the obstructive attitude of representatives of state institutions towards private businesses, as the biggest obstacle in creating and developing a business in Romania.
If in 2014, only 12% of respondents were expecting a positive evolution of this aspect, and in 2015, only 20%, in 2016, 51% of respondents observe an improvement of the fiscal and regulatory environment.
According to the study, 52% of entrepreneurs believe the lowering of the standard value added tax (VAT) rate to 20% from 24%, as well as the VAT cut for food items, is the best fiscal measure taken in the past year. Labor tax cuts for employees and employers is perceived by entrepreneurs as a measure that would help them the most in terms of regulation and taxation (31%), followed by measures aimed at ensuring stability for the regulatory environment (26%), simplifying legislation (20%) and reducing taxes on corporate revenue and profits (15%).
Moreover, 62% of entrepreneurs believe access to funding has improved in the past year and this trend shows a gradual improvement for business financing over the last years.
In the next 12 months, most entrepreneurs will incline towards bank loans to finance their business growth (40% of respondents). Financing sources such as supplier credit (21%) and European funds (17%) lag far behind. State aid and private equity funds are targeted by 3% of entrepreneurs, while the stock market and alternative trading systems are preferred by 1% of respondents.
The study “Romanian Entrepreneurship Barometer” measures perceptions of Romanian entrepreneurs on five pillars essential for the development of entrepreneurship: access to funding, regulation and taxation, entrepreneurial culture, education and coordinated support provided by associations specialized in supporting entrepreneurship. This year, the study was conducted by EY Romania in partnership with Raiffeisen Bank.