Abstract:

The Covid-19 pandemic highlighted the importance of the delivery sector, being one of the most demanded service by far. In 2021, the equity of Romanian companies’ was 1.329.206.055.028 lei and that of courier companies was 2.127.479.827 lei. The current research deep dives into the financial performance of the delivery companies as the Profit pillar of sustainability, putting the delivery market into the larger economy of Romania, considering economic Key Performance Indicators (KPIs). Based on the information provided by ListăFirme.ro website, in the year 2021, 4.488 active companies are operating in Romania under the two respective CAEN codes, 5310 and 5320, as their most predominant CAEN activity. Of this total, the most significant proportion of companies, comprising 52,92%, are SRLs (Limited Liability Companies), with 5.679 such companies in operation. The second-largest group, representing 44,13% of the total, comprises 4.736 PFAs (Authorized Physical Persons). The remaining types of companies include 199 II (Sole Proprietorships) representing 1,85%, 89 SRL-D (Limited Liability Companies for Startups) representing 0,82%, 13 SA (Joint-Stock Companies) representing 0,12%, 13 IF (Family Enterprises) representing 0,12%, and two other types of companies representing 0,01% of the total number of delivery companies. The high percentage of LLCs in the national economy in Romania can be attributed to their favourable taxation rates. Specifically, LLCs with no employees were taxed at about 3% of their income, while those with at least one employee can sometimes enjoy a rate as low as 1% and 5% on dividends. Additionally, Authorized Physical Persons benefit from perks like immediate money withdrawal and a low taxation rate of approximately 10% of their income. The ease of registration and a straightforward accounting system further incentivise entrepreneurs to opt for this type of company. On the other hand, the limited presence of Joint-Stock Companies in Romania is due to the substantial amount required for incorporation, around 20.000 euros. Moreover, Romania’s long history of individualism, nurtured over five decades of communism, has resulted in a low-trust culture. This lack of trust has diminished cooperation and promoted individual work, further discouraging the establishment of Joint-Stock Companies.