Pymes - Small and Medium Enterprises (SMEs) - are a fundamental component of the global economy, playing a vital role in job creation and economic growth. In this article, we'll delve into what an SME or Pyme is, its significance, examples in Argentina, and how they're classified.
An SME is a small or medium-sized enterprise that meets specific criteria in terms of annual turnover, number of employees, and other financial indicators. They are characterized by their simplified organizational structure, flexibility, and ability to adapt quickly to market changes.
A Pyme is defined as a company that meets certain criteria established by government authorities or financial entities, such as a maximum annual turnover limit, number of employees, and total assets. These criteria may vary depending on the country and region.
In Argentina, a Pyme is a micro, small, or medium-sized enterprise operating in various sectors such as services, commerce, industry, agriculture, construction, or mining. Their main objective is to generate profits through production, extraction, or exchange of goods and the provision of services. To achieve this, they invest capital and employ labor, assuming the risks inherent to the business. A Pyme can be formed by a single person or several individuals, and its classification is determined by declared economic activity, total annual income, or the number of employees.In Argentina, Pymes play a crucial role in the economy, representing a significant portion of the country's business fabric. It is estimated that over 90% of registered companies in Argentina are Pymes, contributing significantly to job creation and economic growth.
Pymes, known in English as Small and Medium Enterprises (SMEs), play a fundamental role in the global economy. These companies are characterized by their small size and ability to adapt quickly to market changes. Pymes are considered engines of innovation and job creation in many regions of the world.The definition of Pymes varies by country, but generally refers to companies with a limited number of employees and moderate turnover. Their agility enables them to compete successfully against large companies, demonstrating that innovation and creativity can overcome barriers of business size.
In Argentina, to determine if a company is considered a Pyme, certain criteria established by government authorities must be met. Some common indicators used to classify a company as a Pyme include:
In conclusion, Pymes are an integral part of the economy, providing employment opportunities, driving innovation, and contributing to economic development. Their importance lies in their ability to adapt quickly to market changes and their role as engines of business growth.
