Estimated reading time: 2 minutes
In 2022, Poland struggled with soaring inflation, which also affected micro and small businesses. According to a survey by Polish Entrepreneurship, 89% of the owners of such companies felt its effects, and 75% described it as severe. Faced with this situation, entrepreneurs took a number of measures to ensure the survival of their businesses.
The most common action that entrepreneurs were forced to take was to raise the prices of the products they offered (63%). The second most common action was to cut business costs (40%). Business owners also had to look for savings, for example by saving on electricity consumption.
Faced with inflation and changing tax laws in Poland, 62% of micro and small entrepreneurs took measures to secure the company’s continued existence. Most decided to look for new markets (43%) and to save electricity consumption (42%).
The Polish government has taken a number of measures in response to rising inflation, including lowering VAT rates on fuel and raising the tax-free amount. However, micro and small entrepreneurs were negative about frequently changing regulations and the lack of stability in the law. There were voices in the survey saying that the government should stop trying to help micro and small businesses as the changes only make it harder to do business.
Entrepreneurs mainly expect the authorities to reduce the amount of ZUS contributions, taxes and simplify tax regulations. According to Piotr Juszczyk, Chief Tax Advisor at inFakt, entrepreneurs have to analyse regulations and look for the optimal model for the operation of their company, which makes it difficult to focus on business.