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Low billing limit The maximum annual billing limit of R thousand is quite restrictive for many activities. Some entrepreneurs meet all the requirements to be MEI, but are prevented from participating due to billing. With inflation and interest rates, the value of the frozen billing limit is considered a disadvantage and a barrier to formalization, since in this case the entrepreneur needs to adopt other more complex frameworks. Limited activity options Another disadvantage is that the business options that can be MEI are still relatively limited. Many businesses that have emerged since the creation of the MEI do not belong to the list of permitted activities, which complicates the lives of microentrepreneurs in general.
Limitation to business growth One of the biggest disadvantages of this HT Lists program is the limitation on business growth. Since it can only have one employee, the business cannot have partners or subsidiaries. With this, growth or framing in the program becomes antagonistic. In order not to compromise the development of the business, this characteristic forces entrepreneurs to change their tax regime, which can become a headache if it is not done with the help of good accounting professionals. tips to become a successful MEI To become an MEI without complications and with great chances of success, it is important to plan and prepare.
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With these tips, it will be much easier to become a market-ready MEI and recommendations include: Know and plan your business well If your business will be opened soon, you need to plan it, not only to establish yourself in the market, but also to become MEI. This is because in addition to choosing the main activity, you will also be able to define the secondary activity for the framework and this requires a lot of knowledge of your business. Taking this care is especially important to prevent your business from engaging in an unforeseen andor unregistered activity, which could force your business to close its doors.
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