A favorable climate for entrepreneurship

A favorable climate for entrepreneurship
We are interviewing Mr. Marian Błachut, mayor of Czechowice-Dziedzice, a town with a population of almost 36,000, which gained town privileges back in 1951 following the merger of Czechowice and Dziedzice.

The history of these two towns goes back as far as the Middle Ages. Today, Czechowice-Dziedzice is a “town with spirit” and an industrial center with a coal mine, a steel rolling mill, a match factory, and an electronics factory.

What advantage will Czechowice-Dziedzice see from a large warehouse base built in the area? What are your estimates of the proceeds this new investment will bring to the town budget?

We expect that 7R’s substantial investment in the development of its Czechowice-Dziedzice warehouse will significantly increase the property tax revenue flowing to the municipal budget. However, the tax benefits that investors in Czechowice-Dziedzice are entitled to means this will not happen overnight. But considering that 30,000 sq. m. of warehouse space is currently under construction, we estimate that future proceeds to the town budget will amount to hundreds of thousands of złoties. Therefore, we are counting on a substantial increase in our budget, despite the fact that property tax rates per square meter in commercial facilities, which have been on the same level for years now, are among the lowest in the region. We welcome all new investments in our town with open arms, as not only will they help our budget but also secure new workplaces for our residents. It is the duty of every local government that cares about the sustainable development of its municipality to look for new investments in the region.

Everyone tries to secure new investments so the competition in this field is fierce. Why is Czechowice-Dziedzice a good place to invest? What tools do the local government have to attract large investors? And to what extent are they effective?

To attract new businesses, we need to offer them areas that suit their needs, are conveniently located, and well-connected. Czechowice-Dziedzice can provide these kinds of areas. Additionally, we are constantly developing better road infrastructure around plots that show the potential for investment. Another factor which makes us attractive for investors is our openness and the capabilities of our officials. After all, it is our duty to assist potential investors in getting through the complicated web of provisions that regulate all new investments. A big incentive for investors who are considering doing business in Czechowice-Dziedzice is the tax benefit referred to earlier. This gives entrepreneurs tangible and measurable benefits in the most difficult stage of getting a new enterprise off the ground. The benefit which encourages investors to establish new companies and expand existing ones has been in place for several years now.

Thanks to a resolution adopted by the Town Council, our municipality now offers a three-year tax exemption to entrepreneurs that develop new investments of at least one hundred square meters. These tax benefits for investors in Czechowice-Dziedzice will be available until the 31 of December 2020, which means that a taxpayer may acquire the exemption right before that deadline. The exemption comes into force from the 1 of January of the year following the year in which the construction or expansion was completed, and the investment was delivered. The exemption period is 36 months and the eligible taxpayer must submit a request for de minimis aid to a relevant tax authority.
However, apart from these tangible incentives, there is also something else waiting for investors in Czechowice-Dziedzice. This is the favorable investment climate that our municipality is famous for. I am talking about the seamless collaboration of the local government and the SRO, which is very active in our town and which is represented by our own delegation to the Regional Economic Chamber of Commerce in Katowice. The result of this collaboration is that we are familiar with the expectations, problems, and needs of entrepreneurs, as well as their ideas and plans. We also appreciate what our entrepreneurs do for the municipality. That’s why, for almost ten years, our municipality has awarded the best businesses with the “Czechosław” economic prize.

Could you tell us more about new investment plans in Czechowice-Dziedzice?

It’s taken us several years but we have managed to tap into the growth potential of the areas surrounding the National Road no. 1, since, apart from the investment carried out currently by 7R, there are a number of other projects being developed in our region. There are already other logistics and warehouse centers operating nearby, a Toyota car dealership, the only one in the entire Podbeskidzie region, and a Carlex Design facility. Carlex Design is a company that specializes in designing and manufacturing unique interiors and equipment for cars, planes, and boats. Designers are already working on other investments which should fill the vacant investment areas scattered around the NR1 within the next several years.

We have been working on these for a long time and all the actions I have already mentioned are now delivering benefits. It should be also noted that the vicinity of NR1 is not the only area that has attracted new, interesting investments. Thanks to our joint efforts with the District Governor’s Office in Bielsko-Biała, we have already started the development of the Bielsko-Biała Aviation, Entrepreneurship, and Innovation Technological Park on the border of Czechowice-Dziedzice and Bestwina. The Park has access to an airport, has developed dynamically, and has systematically expanded the scale of its operations. It is investing in the expansion and enhancement of airport infrastructure and new manufacturing and warehouse spaces. With the visible support and engagement of the municipality, the Silesian Science and Technology Centre of Aviation Industry has been developed nearby the park. The center is known for designing and manufacturing composite components for the aerospace industry. As you can see, in Czechowice-Dziedzice we support innovation, encourage it, and do it successfully.

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