THE FACTORS DETERMINING THE INFORMALITY OF MICRO ENTREPRENEURS

The research aimed to identify the determining factors for the informality of micro entrepreneurs. The methodology used a descriptive approach, with survey and quantitative research. The study findings were divided into three factors. F1 detailed the advantages of formalizing as a MEI, including legal and financial aspects, and the relevance of knowledge about documentation, benefits of formalization, and tax obligations. Opportunities in public bidding were highlighted as incentives for formalization. F2 addressed access to information and support, highlighting institutions such as Sebrae in providing essential services to MEIs; noted the difficulties faced in obtaining information and financial resources, as well as the challenges of financial and tax management, highlighting the need for targeted and effective public policies. F3 examined the relationship between entrepreneurship, perception of the business as the only source of income, and knowledge about business, indicating that the decision to formalize depends on additional factors such as access to capital and perception of the business environment. The research highlights an approach to understanding the dynamics of the formalization of MEIs, suggesting public policies that meet the identified challenges. Academic contributions include enriching the literature on the informal economy and introducing a replicable methodological model.