Ascent Group reports very good results for 2007

2007 represented a fast grow year for Ascent Group, fact that is also confirmed by the financial results. At the end of the year, Ascent Group reports a 108% grow of the turnover compared to 2006, overcoming the initial forecast of the management of the group. At the beginning of the year, the management of Ascent Group estimated a turnover grow by 45% for 2007.

Another important grow was registered in 2007 in terms of number of clients. The portfolio grew by 34% compared to 2006.

2007 has also marked the conclusion by Ascent Group of some strategic partnership. Based on these partnerships the consulting group will represent in Romania the companies OCRA, Jordan Sheppard and Identity Compass.

Adela Cristea, managing partner of Ascent Group and Lia Bejenaru, manager of Ascent Group’s office in Chisinau participated a few days ago to a conference organized by Confindustria Catania.

The topic of the conference was: “Business Opportunities: Romania and the Republic of Moldova” being organized by Confidustria Catania in cooperation with Assoconsult Sicilia, Gruppo Strazzeri, Casa Italia Consulenza and Ascent Group.

The conference was attended by Sicilian business people interested by business opportunities in the 2 countries. Adela Cristea and Lia Bejenaru presented the legal and fiscal frame of Romania and Moldova as well as concrete business opportunities from different fields of activity.

Elena Ionescu was recently appointed as manager of Jordan Sheppard Romania. Jordan Sheppard Romania was established in November 2007 as a result of an association between the prestigious multinational company Jordan Sheppard Executive Search and the consulting group Ascent. The company offers high quality services in executive search and head-hunting to the companies interested in the improvement of the recruitment process for top and middle management positions.

2008 brought us many changes regarding both the level of some taxes and social contributions, and also the level of the minimum salary, on national economy level and also relate to some professional categories…

Considering these changes, the minimum salary on economy level in Romania has increased starting with January 2008 to 500 Lei, compared with 390 Lei in 2007. Based on the legislation changes brought by the Government Decision no. 1,507 issued on 12th of December 2007, the minimum gross salary on economy level will also increase again with July 1st 2008 to 540 Lei, in case that the main indicators on macroeconomic level, based on whom the budget is built, will be maintained (increase of the GDP, maintaining of the inflations within the estimated values, maintenance of the economic grow and work productivity).

Starting with January 2008 Bulgaria has a new 10% flat tax rate for individuals, replacing the 10%-24% tax rates in 2007.

The Bulgarian 10% corporate tax rate for 2008 remains the same as in 2007 and is positioning Bulgaria together with Cyprus among the lowest taxations within the European Union.

The VAT rate in Bulgaria for 2008 will remain 20%, the same as in 2007.

Exactly how attractive is Romania for the new comers of various industries we can anticipate by measuring the volume of FDI, before and after joining EU, as well as by considering the rhythm and dynamics of business on its territory during the last years.

And yet… how attractive is Romania for a new comer on the market? We could probably say that, apart from the legislation and political frame, taxation, reforms, level of corruption and other conditions considered by investors, what actually summarizes and concludes the relationship with the investor is the honoring of a psychological agreement…

Have you ever been in the country of it is impossible?

If you have never been, let me tell you something from my last journey’s diary in the country of it is impossible. My story starts with my entry into this country.

After a long but pleasant journey I have arrived to the country’s borders. I passed the check point for identity cards and asked a frontier policeman: From where can I buy a travel license stamp? The policeman threw my passport in hurry and replied: From here it is impossible! Then he made me a sign to move on.

2008 brought new changes regarding the taxes and duties. The latest news in the Fiscal Code refers to VAT, the income tax and excises.

VAT: The reversed taxation procedure for real estate transactions between legal entities persons, who pay VAT, was eliminated.

At the same time, the VAT exemption was eliminated for the following services: giving information and making reports for the insured persons, marketing and administrative services that derive from the insuring-reinsuring services, respectively the organization and the management of the IT system of the insurance companies.

Income tax: The limit regarding the non-taxable income from the pensions will increase, from 900 to 1000 lei.

Romania’s joining to the EU in 2007 led to new challenges for the road transportation operators. The authorizations problem doesn’t exist any more, but problems related to the management of the transportation companies appeared. These companies must find rapidly solutions for keeping the labor force and for a more efficient activity, especially by developing the provided services.

The fact that, on the Romanian market already appeared important transportation companies from the neighboring countries, who are transferring trucks in Romania in order to use the Romanian labor force paid at national standards, has created numerous dysfunctions on the labor market in this domain.

However, the lack of any minimum conditions for registering in the Operator’s Transportation Registry, determined the increase of the small operators’ number, with one-two trucks.

The idea of coaching has started to appear, even implementing in daily agitated companies’ lives, no matter if big, medium or small. There are different articles, TV shows, books debating even creating a media event on this theme. Indeed, it has a long time since is practiced and has good results “over the borders”. But human reticence makes us wonder: why coaching?

In actual fact this so-called reticence hides its dose of pragmatism: why choosing to invest enormous amounts of money in our employees? They really deserve this financial effort?

Ascent Group started recently a cooperation with the prestigious magazine Tonica (www.tonica.ro). Starting with the next editions of the magazine the HR department consultants of Ascent Group will publish opinions on topics related to career, presentation and communication skills, time management, work relationship management, employee motivation and many others.

The cooperation with Tonica magazine is a confirmation of the quality of Ascent Group consultant’s opinions and we hope that our articles will be appreciated by the magazine’s readers.

According to a recent study of the National Health Insurance Institution, IT experts stop paying the contribution to the health insurance, the contribution being paid by the employer. However, the employees will have free medical services, on the basis of a certificate from the employer.

This stipulation is part of a series of fiscal facilities for developing the IT industry.

According to the same stipulation the certificate that proves the quality of insured person for all the employees, will be released for the future by the National Health Insurance and not by the employer, as it happens now.

The National Agency of Fiscal Administration has decided that, starting with January the 1st 2008, taxes, contributions and other amounts owed by the tax payers to the general budget, are to be paid into a unique account.

The tax payers will use two payment orders for the State’s treasury, one for the obligations due to the state’s budget and the second, for the other obligations.

The amounts owed to the State’s budget will be paid into the unique account 20.47.01.01, and the fiscal debts to the social insurance budgets and to the special funds, into the unique account 55.02.

Every payment, for every tax, contribution and on other amounts owed to the general budget will be made distinctly.

National Bank of Romania (BNR) recently took the decision of increasing the interest with 0.5% , thus reaching up to 8%. According to specialists, this decision will have reduced effects on short term, including on the currency. But a new 0.25% increase is expected in February.

The interest increase will not influence the currency appreciation, but it can influence its depreciation and shows that BNR has decided to take measures to reach its inflation target.

One more year just passed by, our first year as citizens of the European Union, and as in any moment of evaluation we look back and try to understand what brought us the year that just passed, but specially we look into the future and try to understand what changes the next year will bring us.

2007 was our first European year, a year with many changes but also with many confusions. Many reforms were started, but unfortunately many others were slowed down.