(MENAFN- Arab Times) Financial expert Mousa Darwesh says small companies that are run by individuals encounter several restrictions, which constitute a big challenge to prospective investors who have plans to implement projects and activities in the private sector, reports Al-Seyassah daily.
Darwesh indicated that the new law on commercial companies does not specify procedures for social insurance fees for those public sector employees who are interested in setting up private business with the intention of obtaining long-term funding with the company guarantee.
He stressed that the governmental agencies have laid down difficult conditions for funding of the projects implemented by small companies.
Darwesh explained that the companies find it difficult to provide sufficient guarantee because they are afraid of possible default in payment of debts.
He revealed that some citizens opt out of public employment to set up private businesses only to end up becoming victims of insurance fees, adding that this does not guarantee social justice.
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