Business Insights: During & Post-Pandemic | Aruba Chamber of Commerce

As an entrepreneur, it’s important to be in the know of what’s going on locally in business, especially during a time where a lot has become uncertain.

We recently sat with Sue-Ellen de Freitas, who is the Head of Business Information & Support at the Aruba Chamber of Commerce. We asked them to share some local insider news with us in regards to businesses in Aruba during and post the pandemic.

So, were there a lot of new registrations on the island during 2020 (covid-period)?
The statistics might surprise you! Sue-Ellen says that when the pandemic started to affect the island, a lot of businesses had to stop their operations and some closed their businesses all together. However, in spite of the difficulties and the unexpected, the Aruba Chamber of Commerce noticed that many entrepreneurs took action by adjusting their business objectives and operations in order to adapt to the current situation. Some entrepreneurs also evaluated new opportunities within the adversity and have managed to create beneficial circumstances. There is also that group of people who have either lost part of their income or their job and who decided to open their own business so the pandemic really affected everyone differently.

So how many new businesses registered during the pandemic in 2020?
According to the Chamber of Commerce, there were a total of 1256 new registrations on the island up until December 31st 2020. “Despite circumstances and a very difficult year, we have observed an increase in new business registrations compared to 2019, which counted a total of 1108 company registrations. On the other hand, there were 566 business cancellations in 2020 compared to 715 business cancellations in 2019.” This shows that in times of crisis and need, people dare to take risks which is something we definitely admire!

#BusinessStatistics2020
Top 3 sectors with most registrations in 2020:
1. Wholesale and Retail Trade sector with 225 registrations
2. Professional Consulting Services with 167 registrations
3. Construction sector with 133 registrations

Top 3 sectors with most cancellations in 2020:
1 .Wholesale and Retail Trade sector. While this sector counted with the highest number in business registrations it also counted the most company cancellations in 2020 with 116 company cancellations.
2.Hotel and F&B sector had 83 cancellations
3. Administrative sector with 72 cancellations

The main reason for these cancellations according to the Chamber of Commerce was due to the fact that a lot of commercial activities had drastically decreased in 2020. Additionally, lack of financing and high costs of doing business were also factors that led to the discontinuation of businesses.

The Chamber of Commerce adapts: going online
Prior to the pandemic, the Chamber had already introduced its digital platform “My Chamber” where business owners can manage all their business matters online. From company registrations to amendments, payment of the yearly fee, buying products to receiving and keeping track of invoices. During the pandemic, it was encouraged for all business owners to get online if they hadn’t already seeing as most business matters had to be done online rather than in person.

Creating an account is simple, all you gotta have is an updated email address registered at the Chamber of Commerce in order to setup and create your “My Chamber” account. This means that you no longer have to stand in line at the main office or wait to obtain an appointment.

For more information on creating your account, you can contact the Business Information & Support department at the Chamber, at: 5821566, ext. 27/30/35/42 or through e-mail: businessinfo@arubachamber.com.

2021 updates
Did you know? On January 1st  2021, Book 2 of the Civil Code on the law of legal entities entered into force which entails several changes. Foundations must now also be registered in the trade register. In addition, associations with full legal capacity are legally obliged to register in the trade register. Associations with limited legal capacity can register in the trade register but are not obliged to do so.

Additionally, legislation to protect children will soon come into force. All daycare centers must meet certain minimum requirements to protect children. These centers must also be registered in the trade register. The Aruba Chamber will organize an information session to inform the owners of these accommodations how they can register at the Chamber, and why this is important so stay tuned for more information to come.

In the meantime, be sure to follow the Aruba Chamber of Commerce on:
Facebook
Instagram