Robert said:
I honestly don't know of one business that is now Dominican owned, because the Dominican took the business. That's not to say it doesn't happen, I just don't know of any.
That's because they sell it. After the owners are deported. The story of many Boca Chica businesses. A German acquaintance of mine was deported about two years ago. He lost about half his businesses up on the north coast. He was partners in the Copa Cabana disco, a car rental, a mortgage company, various properties, etc. must he also lost many personal assets. What he didn't lose was what he was able to "sign over" to his wife before his deportation, working with a new attorney from his jail cell. He was guilty I guess, but his partners did him in, including his lawyers and some long time connections that were "friends". I never got the details of what exactly he did but he's back again.
This is the reason for the warnings on the department of state page for the USA.
From
http://travel.state.gov/dominican_republic.html:
Real estate investments by U.S. citizens have been the subject of both legal and physical take-over attempts. Squatters, sometimes supported by governmental or non-governmental organizations, have invaded properties belonging to U.S. citizens, threatening violence and blocking the owners from entering their property. Several U.S. citizens with long standing expropriation disputes with the Dominican Government have not received compensation.
If you operate a successful business, especially to the detriment of your competition, you better have your ducks in a row and a connection or two. I think the days of just taking a business or over but I've witnessed furniture confiscation, padlocking of businesses, and your classic "shakedown" by various government entities. It doesn't take much to shut a restaurant down - just a bad inspection report. You may suddenly find that you don't have a "license" to operate, or I've even seen established businesses of 10 years or more be told they don't have "permission" to operate. Connections saved these people, others sold and moved on.
As you can figure, a quick sell-out and go is rarely profitable. One guy got shaken down by a couple motorcycles that rammed into his parked van, and then he had to pay. You will pay now or pay later. Better keep those connections if you are going to get rich off the sweat and toil of the locals.
I think Andy B. once mentioned how a takeover attempt went as far as having the owner locked up via a drug possession frame-up and it took many months to get him out.
I've heard story after story how a couple owners have just squeaked out of some crap via a phone call to their connection. My own friend got shaken down and he was Dominican and got out when someone from Hipolito's group called on down and said, leave him alone, he's one of ours.
Visit, spend, go home, or live here and blend well. Make friends. Be an island and you will soon find yourself off the island if you make people envious or just **** off the wrong person.
Many of the methods are actually legal. We all know that to be competitive, you practically have to operate in a gray area because that is how your competition is operating. All they have to do is pick you to have the law enforced and you can be sunk. What, you've over stayed your residency? What, you didn't pay your tax? What, you didn't get a permit? What, you allowed minors in a place where alcohol is sold? You my friend are out of here.
I cannot stress enough the importance of a brick and mortar type business to be aligned with the local authorities and yes, that means unofficially this and that and don't make anybody spell it out for you. Like the cop pulling you over. 10 pesos and you are on your way. 20 pesos if you make them ask to see your papers. 50 pesos or a jail threat for a violation if you continue to play stupid. Or be macho or principled and hope it works. Which do you think is the path of least resisitence.
Did you ever notice anybody who is anybody carries some kind of card showing they have a connection? Really.