Formalização

Formalização refers to the process of making something official, recognized, and subject to established rules and procedures. It typically involves documentation, registration, and adherence to legal or regulatory frameworks. In various contexts, formalização can mean different things. For businesses, it often signifies moving from an informal or unregistered operation to a legally constituted entity, which may involve obtaining licenses, paying taxes, and complying with labor laws. This formalization can provide access to credit, government programs, and a broader market. In economics, formalization is often discussed in relation to the informal economy, where a significant portion of economic activity operates outside of government regulation and taxation. Transitioning workers and businesses from the informal to the formal sector is seen as a way to improve living standards, increase tax revenue, and ensure better labor protections. In a broader sense, formalização can apply to social or administrative processes, such as the official recognition of relationships, the standardization of academic qualifications, or the implementation of formal communication channels within an organization. The goal is generally to bring clarity, legitimacy, and predictability to a particular situation or activity.