Publication:
Finding a Path to Formalization in Benin: Early Results after the Introduction of the Entreprenant Legal Status

dc.contributor.authorBenhassine, Najy
dc.contributor.authorMcKenzie, David
dc.contributor.authorPouliquen, Victor
dc.contributor.authorSantini, Massimiliano
dc.date.accessioned2015-12-22T16:25:24Z
dc.date.available2015-12-22T16:25:24Z
dc.date.issued2015-12
dc.description.abstractIn April 2014, the Government of Benin launched the entreprenant status, a simplified and free legal regime offered to small informal businesses to enter the formal economy. This paper presents the short-term results of a randomized impact evaluation testing three different versions of the entreprenant status on business registration decisions, each version including incremental incentives to registration: (i) information on the new legal status and its benefits, (ii) business training, counseling services, and support to open a bank account, (iii) tax mediation services. The study included 3,600 informal businesses operating with a fixed location in Cotonou, Benin, which were randomly allocated between three treatment groups and one control group. One year after the program launch, all versions of the program had significant impact on formalization rates. The impact was 9.1 percentage points in the first treatment group; 13 percentage points in the second group; and 15.8 percentage points in the last group. The program had a higher impact on male business owners, with more education, operating outside Dantokpa Market, in sectors other than trade, and that before being offered the incentives to formalization had characteristics similar to businesses that were already formal. Data from a second follow-up survey, which is expected to take place in March 2016, will explore the impacts on other outcomes, like business performances or access to banking.en
dc.identifierhttp://documents.worldbank.org/curated/en/2015/12/25660436/finding-path-formalization-benin-early-results-after-introduction-entreprenant-legal-status
dc.identifier.doi10.1596/1813-9450-7510
dc.identifier.urihttps://hdl.handle.net/10986/23472
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 7510
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectBUSINESS FACILITATION
dc.subjectDEPOSIT
dc.subjectLIABILITY
dc.subjectQUALITY OF SERVICES
dc.subjectCHECKS
dc.subjectACCOUNTING
dc.subjectENTERPRISE DEVELOPMENT
dc.subjectTAX EXEMPTION
dc.subjectLEGAL ENVIRONMENT
dc.subjectCERTIFICATE
dc.subjectSALES
dc.subjectDUMMY VARIABLES
dc.subjectMEDIUM ENTERPRISES
dc.subjectOPTION
dc.subjectEXCHANGE
dc.subjectBANKING SYSTEM
dc.subjectINFORMATION
dc.subjectBANK ACCOUNT
dc.subjectDEVELOPING COUNTRIES
dc.subjectSELLING
dc.subjectMONITORING
dc.subjectACCESS TO BANK
dc.subjectFINANCIAL STATEMENTS
dc.subjectIMPACTS
dc.subjectLOAN
dc.subjectTRADE SECTOR
dc.subjectTAX
dc.subjectOWNERSHIP
dc.subjectQUALITY
dc.subjectDUMMY VARIABLE
dc.subjectBENEFICIARIES
dc.subjectINTERNATIONAL BANK
dc.subjectOPEN ACCESS
dc.subjectENABLING ENVIRONMENT
dc.subjectINFORMATION SERVICES
dc.subjectBUDGET
dc.subjectECONOMIC ACTIVITY
dc.subjectSMALL BUSINESS
dc.subjectINSTITUTIONS
dc.subjectINTERNATIONAL FINANCE
dc.subjectINFORMATION BANKS
dc.subjectADVERTISING
dc.subjectTECHNICAL ASSISTANCE
dc.subjectBUSINESS REGULATION
dc.subjectCOMMERCE
dc.subjectPHONE NUMBER
dc.subjectONE-STOP SHOP
dc.subjectCOMMERCIAL BANK
dc.subjectINFORMATION SERVICES
dc.subjectCONTRACTS
dc.subjectIMPACT EVALUATION
dc.subjectTAX REGIME
dc.subjectLICENSE
dc.subjectTRADING
dc.subjectTAX EXEMPTIONS
dc.subjectPRODUCTIVITY
dc.subjectBUSINESS SERVICES
dc.subjectMARKETS
dc.subjectDIRECT COSTS
dc.subjectINTERNATIONAL DEVELOPMENT
dc.subjectFINANCIAL PRODUCTS
dc.subjectLOANS
dc.subjectBUSINESS ENTRY
dc.subjectARTISANS
dc.subjectBUSINESS REGISTRATION
dc.subjectDATABASES
dc.subjectCASH TRANSFERS
dc.subjectACCOUNT
dc.subjectBANK FINANCING
dc.subjectFINANCE
dc.subjectTAXES
dc.subjectTAX FORMS
dc.subjectPHONE
dc.subjectHUMAN CAPITAL
dc.subjectGOOD
dc.subjectTAX RATE
dc.subjectINSPECTION
dc.subjectBUSINESS MANAGEMENT
dc.subjectCONTACT INFORMATION
dc.subjectBUSINESS PLAN
dc.subjectTRANSPARENCY
dc.subjectRESULTS
dc.subjectACCESS TO BANKS
dc.subjectBUSINESS PERFORMANCES
dc.subjectTURNOVER
dc.subjectFUTURE
dc.subjectMOBILE PHONE
dc.subjectCOMPETITIVENESS
dc.subjectELECTRICITY
dc.subjectRETURNS
dc.subjectTAX REGIMES
dc.subjectCONTRACT
dc.subjectPROTOCOLS
dc.subjectFIRM PERFORMANCE
dc.subjectTAX RATES
dc.subjectCOST
dc.subjectINFORMATION BANKS
dc.subjectSHARES
dc.subjectMARKET
dc.subjectNEW MARKETS
dc.subjectCOMMERCIAL LAW
dc.subjectBANK ACCOUNTS
dc.subjectLEVY
dc.subjectADMINISTRATION
dc.subjectRESULT
dc.subjectBOOKKEEPING
dc.subjectBANK LOAN
dc.subjectREGISTRATION SYSTEM
dc.subjectBANK LOANS
dc.subjectBUSINESS ACTIVITY
dc.subjectNETWORK
dc.subjectBUSINESSES
dc.subjectBUSINESS
dc.subjectCOMMERCIAL BANKS
dc.subjectSHARE
dc.subjectTAX SYSTEM
dc.subjectCOLLATERAL
dc.subjectPERFORMANCE
dc.subjectINSPECTIONS
dc.subjectBUSINESS PLANS
dc.subjectINSTITUTION
dc.subjectPROFIT
dc.subjectPROTOCOL
dc.subjectADMINISTRATIVE PROCESS
dc.subjectACCOUNTS
dc.subjectCHECK
dc.subjectDEBIT CARD
dc.subjectCOMMUNICATION
dc.subjectCHAMBER OF COMMERCE
dc.subjectUNFAIR COMPETITION
dc.subjectCUSTOMERS
dc.subjectDATABASE
dc.subjectPROFITS
dc.subjectIMPLEMENTING AGENCIES
dc.subjectLIMITED LIABILITY
dc.subjectBUSINESS PERFORMANCE
dc.subjectIMPLEMENTATION
dc.subjectSMALL BUSINESSES
dc.subjectPERFORMANCES
dc.subjectREGISTRATION PROCESS
dc.subjectBUSINESS TRAINING
dc.subjectTAX OBLIGATIONS
dc.subjectMICROENTERPRISES
dc.titleFinding a Path to Formalization in Beninen
dc.title.subtitleEarly Results after the Introduction of the Entreprenant Legal Statusen
dc.typeWorking Paperen
dc.typeDocument de travailfr
dc.typeDocumento de trabajoes
dspace.entity.typePublication
okr.crossref.titleFinding a Path to Formalization in Benin: Early Results after the Introduction of the Entreprenant Legal Status
okr.date.disclosure2015-12-09
okr.date.doiregistration2025-04-10T10:03:38.161089Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.docurlhttp://documents.worldbank.org/curated/en/2015/12/25660436/finding-path-formalization-benin-early-results-after-introduction-entreprenant-legal-status
okr.guid260441468187756329
okr.identifier.doi10.1596/1813-9450-7510
okr.identifier.externaldocumentum090224b0842b0609_3_0
okr.identifier.internaldocumentum25660436
okr.identifier.reportWPS7510
okr.importedtrue
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2015/12/09/090224b083c426aa/2_0/Rendered/PDF/Finding0a0path0prenant0legal0status.pdfen
okr.region.administrativeAfrica
okr.region.countryBenin
okr.topicPrivate Sector Development::Competitiveness and Competition Policy
okr.topicPrivate Sector Development::Business in Development
okr.topicPrivate Sector Development::Business Environment
okr.topicPrivate Sector Development::E-Business
okr.unitTrade and Competitiveness Global Practice Group
relation.isAuthorOfPublication148d6d6d-76e5-5d6f-9af9-98313e30551f
relation.isAuthorOfPublication.latestForDiscovery148d6d6d-76e5-5d6f-9af9-98313e30551f
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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