Opening a new business in DR

3POSTS

11 years ago

Thank you for your advice Planner, will follow through and update you. I will be asking more questions... so will be contacting you soon.

planner Dominican Republic Expert

17771POSTS

11 years ago

#82

Feel free to ask....

Biggsarge New member

4POSTS

11 years ago

#83

I am in the same situation as most here I am very interested in starting a business in D.R. Myself and 2 other investors want to open a beauty/barber shop and beauty supply store. We are still researching the idea but would really like some sound advice as what would be the proper starting point?

planner Dominican Republic Expert

17771POSTS

11 years ago

#84

Welcome bigsarge....... start by telling.g me where you are thinking to open? Have you looked at the market, pricing? Product lines? That is where I would start. How big are you thinking? Full salon? Nails? Unisex? Etc.... I could keep asking....

Biggsarge New member

4POSTS

11 years ago

#85

Well we have visited the country quite a few times and we have did our best to network and ask how would that market survive. And I would say 10 out of 10 feedback has always been positive. We have thought about products been shipped from here or setting up a company of products from there all depending on what would be the best way to restock our shelves. We are thinking about starting the Beauty Supply first then a full Unisex salon where you go from head to toe in treatment. The market is wide open and getting top notch hair care there is a rarity the stylist there are not as experienced

planner Dominican Republic Expert

17771POSTS

11 years ago

#86

Ok so you have dine some homework. Excellent. Depending where we ate discussing top notch care is available but not easily! Head to toe is not available and great customer service is lacking!!!

Time to move this to private message! Look for a message from me....

Tomas Cabrera Serial expat

606POSTS

11 years ago

#87

Hi Big sarge!
Well, I beg to differ.
My wife's best friend owns 2 Hairdressers/Spa businesses.
One is here in Cabrera, the other in Sosua.
They are both top notch.
With no happy endings, I might add.
Also She is building a new one here in Cabrera.
About 10,000 sq. feet on 2 floors.
I'm not sure about the supply end of things, I will inquire.

Biggsarge New member

4POSTS

11 years ago

#88

well thank you for the reply I am looking at the Santo Domingo and Santiago area. I am glad your wife's best friend is successful that's what I am striding toward. I am just speaking from my experience with the young ladies I have come in contact with. I have asked about the quality of work they have received and in all but a few it has been subpar. I have run my hands through their hair and have felt the tracks, barbie pins and even seen where the real hair stopped and the weave started. If you can offer me any insight to starting things I would greatly appreciate it.

planner Dominican Republic Expert

17771POSTS

11 years ago

#89

You also need to understand how.much they paid or were willing to pay. The vast majority's maybe 150 to 200 rd.for a.wash and blow dry...... So much if the discussion is clearly linked to price.no don't know what a weave vs a quality weave will cost.

Biggsarge New member

4POSTS

11 years ago

#90

Yes all of that will be taken into consideration as we set prices and take into account on how to generate customers and repeat business

princess1003 Member

15POSTS

11 years ago

#91

Interesting in move to D.R and start a business. Need an idea for best locations and types of must profit
business.

planner Dominican Republic Expert

17771POSTS

11 years ago

#92

Welcome to the forums. There are no guarantees or best locations! Its not that simple. Depends.on what you want to do, what part of the country, what are your skills, how much capital you have etc etc.

Bob K VIP Member

7675POSTS

11 years ago

#93

Welcome to the forum. You have lots of homework including an extensive "scouting trip" to the DR.

What do you have to offer?

Have you been here before?

What are you interests?

Have you run a business before?

Bob K

drplatano New member

5POSTS

11 years ago

#94

Hi I'm a Dominican born in new York looking to relocate my family to homeland. But going thereally all the time I know is not the same as living there. I will definitely be okay with the changes so will my family. Just torn between what type of business to open. My father lives in Santiago an I would like to move there if not the capital. Where I feel have the best malls restaurant an people buying products. I would like to open a big modern hut style building hookah bar an lounge. But scared of losing it all if it bust my other option is start with small kiosk or store at mall for urban American gear an iPhone repair like Jordans. But would like info on selling replica knockoffs I see them everywhere mostly bad copies at that.but still want to know the legalities

planner Dominican Republic Expert

17771POSTS

11 years ago

#95

Welcome to the forums. So running any business takes some skill sets. Type of business should depend on your knowledge, interest, market and how you set it up.

So first is it legal? Hookah bar no idea. Whats the market? Do you know how to run a bar???

Illegal knock offs - hmmm illegal should tell you something.

Best way to not lose it all - do your homework, research and PLAN for everything!

You need to incorporate, get licensing (sometimes) understand labor law, competition, overhead, leases, capital improvements.....etc.

And yes, this is part of what I do for living, I understand it well.

Ask us lots of questions but you need boots on the ground doing research and learning.

Tell us more of your background as well....

Bob K VIP Member

7675POSTS

11 years ago

#96

Welcome to the forum.

Planner has given you some sound advice. Businesses here are very hard to start and most fail. You need to do your homework to get things off in the right direction.

The good news is that you have family here

Bob K

drplatano New member

5POSTS

11 years ago

#97

I have tons of family in DR. My father owns an runs a Colmado which clears about 80k pesos a month clean. But that's not my cup of tea. All thealla I've been to I, seen plenty of knockoff sneakers an clothing. And in regards to hut bar people are always. I'm more concerned with fights an shootout machete fights.Dominicans take bar fight to the extreme. An As Far As Clothing Just Concern Of THEORY Legality Behind Sell IN knockoff. It's a third world country with Italy fashion week style. People want to dress nice for cheap

planner Dominican Republic Expert

17771POSTS

11 years ago

#98

You are absolutely correct on most of this..... and i love how you phrase it.

What you may not realize is the crackdown happening on the knockoffs. Much is due to serious international pressure. You know how this govt gets funding.....they do give in to pressure. That makes this type of business risky. And the competition are serious sharks....

drplatano New member

5POSTS

11 years ago

#99

Okay I have a couple questions in regards to importation of goods like electronics cellphones and accessories mostly. And clothing from China usually replica clothing. How would one go about aquirring an importation license or permit which ever is required.do I need a store front or warehouse. An my my concern is the 18% importation tax does it vary up an down cause the aduana is not even government owned an is very corrupt. I want to really selike replica sneakers at a low cost an even replica android cellphones people don't have 30th pesos for new phones nor 8-10th for real Jordans when they sell fake ones for 6k. I read up on it an it seems u need 100k pesos in the bank an 1mil in proof of funds I guess for over head

drplatano New member

5POSTS

11 years ago

#100

Sorry for the typos but I see a lot of people do these types of businesses an r not even legally registered. They just ship the products to their houses then sell them.I wonder if this is a much better route or cheaper.what would you recommend as this would hold no true overhead.and do you know if someone does open a business do they get a lower importation tax or is it the same for everyone. Cuz they recently passed a law that any article even under 200 dollars the gets 18%. is the 18% tax applied to what you paid for what it's worth?

Bob K VIP Member

7675POSTS

11 years ago

#101

First off the law did not pass and you can still bring in an item purchased for less than $200 with out tax. This is for one item only. So will not apply if you bring in 100 items at $50 apiece ($5,000) then you will pay the tax which can vary depending what it is from 18% to 32% or more.

"jumping ship" and setting up a business illegally as a gringo also do lots of reading on the experience of Dominican jails.

You are going about this all wrong.

Bob K

planner Dominican Republic Expert

17771POSTS

11 years ago

#102

Bob is right. So first - easy to open import business! On import you pay the 18% ITBIS plus import duties on legal imports. This can vary from 0 to over 40%.

And as an expat you stand out for scrutiny so stay legal!!!!

Currently purchases under US 200 dont pay the ITBIS but that is per package coming in. IF they think your documents are NOT valid they will reassess the value and tax accordingly.

drplatano New member

5POSTS

11 years ago

#103

I'm Dominican by nationality but I don't understand how everyon else is doing it cause most individuals just have people sending them sneakers an cellphones from the state or purchased online to them. Then turn around an sell them. An doing it legitimately just seems less profitable. Is there any true tax be if it to being an actual importer licensed

planner Dominican Republic Expert

17771POSTS

11 years ago

#104

You are right. If you have prople willing to bring you suicases of stuff, then have at it.

WE are not going to recommend you do anything illegal. What you choose to do is up to you!

Bob K VIP Member

7675POSTS

11 years ago

#105

Yep. You want to go grey or illegal than YYMF. I won't recommend it.

Bob K

planner Dominican Republic Expert

17771POSTS

11 years ago

#106

Welcome Preta to the forums. Have you set up a corporation yet? Which city, which malls are you looking at?

Registering your name will take some time. I will send you a private message with more information as well.

Keep asking questions as well.

Bob K VIP Member

7675POSTS

11 years ago

#107

Preta welcome and good luck on this venture. The competition will be great. Have you been here before?
Have you decided on a city to look at? Do you have a cedula and residency? Do you plan on working at the shop?
This will be a long process.
Costs can vary and a good deal of money will be spend on lawyers to get things set.

Bob K

planner Dominican Republic Expert

17771POSTS

11 years ago

#108

Okay you are getting some bad info. First while there will be competition that is not a bad or a good thing, depends what and how you offer it.

Second you do not need citizenship, but you do need to get residencia if you are going to work here and not just own a business here. Owning a business can be done without it, but to work in the business you MUST be a resident. That process is cumbersome, don't do it until you know you are going to open here.

I suggest you do more homework first of all. I sent you a private message with some ideas and suggestions for you.

you are absolutely right Dominican women invest in makeup, hair, nails etc on an ongoing basis. Whether your offering will be successful depends on a lot of factors!

One thing to know - Dominican women believe they already do it right! And I mean in everything, not in makeup....LOL Do they have things to learn, absolutely! But remember the attitude....

planner Dominican Republic Expert

17771POSTS

11 years ago

#109

I think i missed something - are you Dominican? IF so, then it is easy for you to get your citizenship set up!!!! IF you are not Dominican then cedula and residencia.

planner Dominican Republic Expert

17771POSTS

11 years ago

#110

Yes, then go straight to geting your citizenship, much easier!!!!

planner Dominican Republic Expert

17771POSTS

11 years ago

#111

Its your right, easy to travel back and forth, open company, work here if wanted etc. Its just easier and less expensive!!!

Linden ridge Member

13POSTS

11 years ago

#112

[Moderated: No free ad on the forum]

planner Dominican Republic Expert

17771POSTS

11 years ago

#113

Welcome to the forums. And i have to tell you not to post this. We dont allow phone numbers, emails or ads. Take out a classified please.

Your post will be removed!

Linden ridge Member

13POSTS

11 years ago

#114

Hello planner. . It's Roger from Canada. I want to ship a container with construction equipment and tools to build a new house beside the house I bought with that Dominican girl we tried to investigate. How do I receive safely without being over charge. Company to company is easiest? Should I or my pregnant girlfriend register a company in San Pedro? I want to subdivide my lot and build houses to sell to foreigners still. Any advice please..

planner Dominican Republic Expert

17771POSTS

11 years ago

#115

First you need to create a corporation, also apply for residency is suggested. Construction equipment your company imports needs to all be set up correctly and various taxes paid.

Subdividing means months of work with titles etc and needs to be done with a good lawyer.

Bob K VIP Member

7675POSTS

11 years ago

#116

Best advice is get a lawyer, residency and establish a Dominican Corp.

Bob K

1 member reacted to this post

TaylorN Member

2POSTS

11 years ago

#117

Hi Guys,

We currently live in the Turks and Caicos and are looking to move down to DR and set up a business. We are thinking about something along the lines of a town tour. We were thinking about Puerto Plata since I know there is a new cruise centre opening up and hope to build off of the tourists the ships bring in. Whats going on in Maimon Bay? We have not been there yet but are planning a trip to DR sometime early next year. How ever if there are other spots in the DR where there's good potential to run daily tours with customers we are open to input.

Do we have to partner with a local to own a business? Or can a foreigner own a business outright.

I understand that owning a business and working for the business are two different things. How long does it take to sort out cedula and resedencia in order to work as well? And what are the prerequisites for application?

From the beginning of registering the company name to finalising everything and being legal what would you consider a realistic time frame to complete all this?

Thanks for the help!

planner Dominican Republic Expert

17771POSTS

11 years ago

#118

Welcome to the forums. So, you really do need to visit. The tour excursion industry is highly competitive and without knowing the lay of the land they will eat you alive. The cruise ship company already has their ducks in a row for this season.

The process - ok residencia - go read the thread about residencia. You start where ever home is and once you arrive here you apply. ONCE you apply and have a file number you can technically work. Finalizing the process is still 6 to 8 months.

Incorporation takes on average 45 days. You can speed it up but that takes more money. Once that is done you apply for the various licenses. No you do not have to partner with a local at all. A tour excursion license is not easy to get, it will take some time. Registration, getting legal to up an running - figure 3 to 4 months if you have good help!

Nothing is fast here, it all takes time. Having the right people helping you can be critical.

TaylorN Member

2POSTS

11 years ago

#119

Hi Planner thanks for the quick reply.

I admit i need to visit and check out the area a little more to see the lay of the land.

Working in the TCI i have had a good amount of experience working with the ships now. And while i want to offer excursions to the cruise ship guests i do not necessarily want to be directly affiliated with the ship excursions... if you know what i mean.

Is there a good amount of history and places of interest to create a walking tour or something along those lines.

I realise everything is slow in the carribbean and that is something that is factored into the plan.

Thanks for the advicE!