ILO validates its methodology on "Formalize Your Business” in Bolivia
The validation process involved more than 30 stakeholders and decision-makers linked to enterprise formalization in Bolivia.
14 April 2023
La Paz - The ILO held a workshop to validate the Formalize Your Business methodology, which has recently been adapted to the Bolivian context to promote a path towards formalization of MSMEs and support entrepreneurs on their way to formality.
"ILO's Formalize Your Business methodology is a package designed to generate awareness among MSMEs on why they should formalize," explained Chandni Lanfranchi, ILO's SME Development and Formalization Technical Officer.
“Formalize Your Business can help economic units transition to the formal economy in accordance with current national legislation"
Chandni Lanfranchi, ILO
A total of 30 people involved in the promotion of regulations and the development of public policies on enterprise formalization in Bolivia participated in this validation process to ensure that Formalize Your Business responds to the reality of Bolivian entrepreneurs. The Confederation of Private Entrepreneurs of Bolivia (CEPB), the Plurinational Service of Commerce Registry (SEPREC) and Manq'a Schools were among the institutions that attended together with trainers interested in being trained in this methodology.
“I consider it a complete methodology where the benefits of becoming formalized can be clearly identified," said Lucia Sossa, Director of Global Compact Bolivia within CEPB.
Additional information was gathered to provide feedback for the training manuals and the next steps to be taken in 2023 in the framework of the SCORE Phase IV project, for the implementation and transfer of this methodology to actors in the Bolivian entrepreneurial ecosystem.
The topics addressed were: business registration, accounting, tax registration, social security coverage, labour regulations and complementary approaches to promote decent work opportunities.
The event also included a discussion on the Formalize Your Business training materials, which reflect the different realities of the informal economy in Bolivia, as well as the challenges and opportunities that entrepreneurs have when formalizing their businesses.
In Bolivia, more than 80 per cent of people work in informal employment (Labour Overview of Latin America and the Caribbean, 2022).
Promoting a path that helps them move toward formality will guarantee new market opportunities for MSMEs, as well as better working and living conditions for the workers in these economic units.