Polish Federation of Independent Entrepreneurs (PFIE) : final report -- cooperative agreement no. 181-0023-A-00-4005-00

PFIE was created in Warsaw in 11/94 and opened its first three local chapters (in Lodz, Krakow, and Tarnobzeg) in 1996-97. These chapters recruit members and involve them at least four times annually in discussions of major policy issues affecting the growth of the private sector. They also address local problems affecting the economic health of their member firms and promote networking among members and linkage with other business organizations. PFIE has cooperated on numerous occasions with other Polish business organizations in advocacy efforts on behalf of the SME sector. In 1994-95, PFIE joined a consortium of organizations which included the Business Center Club, the Polish-American Enterprise Clubs, several industrial associations in a fight against a bill that would have created a public law chamber, which becomes an arm of the government, with mandatory membership and mandatory annual dues. Other joint business advocacy activities have helped delay or amend legislation constraining the growth of private enterprise. In 2/97, an SME Forum was created to address such local issues as rent control, city council policies, and stabilization of business property taxes. PFIE is an active participant in a nationwide tax coalition of business owners and business associations. PFIE has also developed a 50-page monthly journal, "The Entrepreneur", the first journal ever devoted solely to the needs and interests of Polish small businesses, and created a legal hotline, which is slowly becoming one of PFIE"s most valuable services to its members. In 6/96, PFIE sponsored a conference on the role of SMEs in economic growth. The conference was well-attended (about 300 participants) and augurs what might be accomplished when sufficient funds become available again. PFIE needs a larger staff in order to organize such conferences and a source of revenue to fund such activities. PFIE"s staff is currently involved in several partnerships with universities and business schools that are organizing seminars and short courses for SME owners. This kind of activity will grow as PFIE attracts more members, which is its primary focus at present. PFIE has been planning a White Paper and a Polish Small Business Act since late 1996. This is a major undertaking that must be carried out in cooperation with other business organizations, professors, and political representatives in the Sejm. CSIS helped conceptualize the project, and will continue to lend support by researching similar legislation and regulations in the United States that may serve as models. In sum, PFIE and other new business organizations in Poland are beginning to realize their political power and, given half a chance, will eventually grow into an important part of a broad-based civic society.