Flavio Maluf; Taking Eucatex To Greater Heights

Flavio Maluf is the president of Eucatex. He gave his opinion on programs that could help startup companies to succeed in Brazil. He provided an example of Simple National that was created in 2006 by the federal government. The program was created to help small businesses and enterprises to grow. Eight out of ten companies that chose to enter the program survived after the two-year mark according to a survey that was conducted. This was compared to four among businesses that did not opt for the system during that same period.


Maluf pointed out that this meant that more than double the companies that were hosted in the program would succeed in comparison to those that did not. Maluf said that this was a clear sign that entrepreneurs needed to consider the program if they wanted to increase their chances of success. SIMPLE had resulted in the growth of startup companies by 60% between 2012 and 2016. This was instrumental in the creation of jobs and the bolstering of the country’s economy.


Maluf explained that there was a need to make amendments to the Tax Replacement clause. The majority of companies complained that the tax cut was too high for them. It took away a huge portion of their profits and operating capital. Maluf showed that the high taxation rates were a hindrance to the growth of the companies.


SIMPLE has undergone some changes on the part of the upper limits of the revenues of companies. The limit for micro-enterprises was raised from R $ 360,000 to R $ 900,000 while that of small enterprises was raised from R $ 1.2 million to R $ 4.8 million.


Maluf graduated with a degree in Mechanical Engineering from the Armando Alvares Penteado Foundation. He has a Master’s in Business Administration from New York University. He proceeded to join Eucatex after school. His family established Eucatex in 1951. Eucatex produces products from natural resources such as trees. Eucatex has grown into an international company under Maluf’s leadership. They were one of the first companies to put in place processes to conserve the environment.




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